Kenya, Rwanda Sign Landmark Petroleum Import Deal Through Northern Corridor

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Kenya Pipeline Company refinery plant. PHOTO/KPC
Kenya Pipeline Company refinery plant. Photo/KPC

NAIROBI, Kenya — Kenya and Rwanda have signed three landmark agreements to facilitate the Government-to-Government (G2G) importation of bulk refined petroleum products through the Northern Corridor, in a move expected to deepen regional trade and enhance energy security.

The agreements, signed in Nairobi on Monday, comprise a Memorandum of Understanding (MoU), a Tripartite Agreement (TPA), and a Transport and Storage Agreement (TSA), fully opening the Northern Corridor for Rwanda’s bulk petroleum imports.

The signing ceremony was attended by Energy and Petroleum Cabinet Secretary Opiyo Wandayi, Rwanda’s Minister of Trade and Industry Antoine-Marie Kajangwe, Kenya Pipeline Company (KPC) Acting Managing Director Pius Mwendwa, Rwanda National Energy Company (RNEC) Director Chris Twagirimana, senior government officials, and representatives from the energy sector.

The agreements conclude a process that began with bilateral discussions in Kigali in November 2024 and was ratified by Kenya’s Cabinet on June 16, 2026.

Under the framework, Rwanda’s annual petroleum imports through the Northern Corridor are projected to increase more than tenfold, from about 42,000 cubic metres transported in 2025 to approximately 500,000 cubic metres annually. The first shipment under the new arrangement, designated RNEC 001/2026, is expected to arrive at the Port of Mombasa between September 4 and 6.

Speaking during the signing, Wandayi described the agreements as more than legal instruments, saying they represent a long-term commitment to guaranteeing secure and reliable supplies of refined petroleum products to Rwanda while strengthening regional economic integration.

“This is not just a legal framework but a commitment that will guarantee security of supply for Rwanda over the long term. Beyond the volumes, this partnership represents deeper economic integration that will benefit the East African Community and the Great Lakes region for decades to come,” he said.

Rwanda’s Trade and Industry Minister Kajangwe termed the agreements a turning point for the country’s energy future, saying they were founded on mutual trust between the two governments and institutions.

He said Rwanda looks forward to receiving its first cargo under the framework in September, marking the beginning of a new phase in regional energy cooperation.

KPC Acting Managing Director Pius Mwendwa said the agreement marked the culmination of more than a decade of efforts to regain the Rwandan petroleum market.

He noted that KPC currently serves only about 10 pc of Rwanda’s petroleum demand but expects the new framework to significantly expand that share.

To support the initiative, KPC highlighted its infrastructure, including 1.13 billion litres of petroleum storage capacity, a 1,342-kilometre pipeline network across Kenya, a modern marine loading facility at Kisumu Oil Jetty on Lake Victoria, and the Eldoret-Kampala pipeline corridor, which could in future extend to Kigali.

The company also announced that its board had approved extending the petroleum storage period for premium motor spirit (PMS) and automotive gas oil (AGO) destined for Rwanda from 35 days to 90 days for an initial two-year period to improve cost efficiency for importers.

Mwendwa further noted that Rwanda is a shareholder in Kenya Pipeline Company through participation in the company’s Initial Public Offering (IPO), describing the agreement as another milestone in strengthening economic ties between the two neighbouring countries.

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