NAIROBI, Kenya – The Kenya Pipeline Corporation (KPC) has remitted Sh7 billion to the National Treasury for the fiscal year ending June 30, 2024, underscoring its financial strength and operational efficiency.
KPC reported a 20% increase in profit before tax, rising from Sh7.6 billion in the previous year to Sh10.05 billion.
Managing Director Joe Sang attributed the growth to strategic investments, improved efficiency, and a focus on positioning Kenya as a regional energy hub.
“In the year under review, we achieved a 20% growth in profit before tax, reaching Ksh.10.05 billion. We have been able to pay the National Treasury dividends amounting to Sh7 billion,” said Sang.
Operational Excellence and Regional Expansion
KPC outperformed global industry benchmarks in pipeline transportation efficiency, reducing product losses from the standard 0.25% to just 0.06%.
The corporation is also ramping up its export market across East Africa and working to fully operationalize the Kisumu Oil Jetty to enhance cost-effective petroleum transportation in the region.
Beyond oil transportation and storage, KPC is diversifying its business portfolio.
Key initiatives include the expansion of fiber optic infrastructure, investment in liquefied petroleum gas (LPG) facilities, and the growth of the Morendat Institute of Oil and Gas to bolster industry expertise.
“One of the major government initiatives is ensuring the availability of cooking gas in schools, and KPC is a critical player in facilitating this supply chain,” said Eliud Owalo, Deputy Chief of Staff for Performance and Delivery Management.
Strategic Growth and Infrastructure Development
KPC is eyeing further growth through the acquisition and optimization of Kenya Petroleum and Oil Refineries Limited, expansion of LPG handling facilities in Mombasa, and upgrades to key storage infrastructure, including Port Reitz tanks.
Sang also highlighted the corporation’s commitment to workforce development, noting that KPC exceeded its internship and attachment target, engaging nearly 1,300 young professionals against an initial goal of 900.
Looking ahead, KPC is calling for increased government support, particularly in budget approvals for projects aligned with the ‘Buy Kenya, Build Kenya’ initiative, aimed at strengthening local manufacturing and job creation.
