Ledama Blames Fuel Import Scam For Pricing Gaps

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NAIROBI, Kenya — Narok Senator Ledama Ole Kina has alleged a major fuel import scam involving officials from the Ministry of Energy, claiming significant discrepancies in petroleum import pricing that could point to systemic manipulation.

In a statement issued Wednesday, Ole Kina said he had reviewed internal correspondence between Oryx Energy Ltd and ministry officials, which he claims reveals irregular agreements on fuel import costs.

“I sat in the committee room yesterday reading emails between Oryx Energy Ltd and the Ministry of Energy officials, including the Cabinet Secretary, and I was shocked to discover that they were all in agreement to import fuel at USD 253.94 per MT — while the same government they serve imports fuel at USD 84.00 per MT,” he said.

The senator questioned the role of oil marketing companies (OMCs) in the alleged scheme, suggesting that the pricing gap could not be explained by normal market dynamics.

“If OMCs are not taking advantage in cohorts with ministry officials, who is fooling whom? This is an artificial get-rich-quick scam orchestrated by a fuel cabal,” he said.

Ole Kina further alleged that attempts to challenge such deals are often undermined by last-minute changes that still result in costly imports, raising concerns about accountability within the fuel supply chain.

He cited a separate incident involving One Petroleum Limited, claiming that a shipment of substandard fuel was offloaded despite initial objections, at a significantly inflated cost.

“We are not stupid — only for the deal to be cancelled at the last minute when a shipment of substandard fuel imported by One Petroleum Limited arrived and was offloaded, costing Kenyans the equivalent of USD 198,855 per MT — still USD 114 more per MT than the government’s own G-to-G rate,” he said.

The claims come amid heightened scrutiny of Kenya’s fuel import framework, particularly the government-to-government (G-to-G) fuel supply arrangement designed to stabilise prices and ensure supply.

While the allegations have not yet been independently verified, they are likely to intensify pressure on oversight institutions, including Parliament and investigative agencies, to examine procurement processes within the energy sector.

The Energy and Petroleum Regulatory Authority and other sector regulators have previously maintained that pricing structures are guided by global market trends, exchange rates, and statutory margins.

However, Ole Kina’s assertions raise fresh questions about transparency, potential conflicts of interest, and the integrity of fuel import decisions at a time when consumers are already grappling with rising pump prices.

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