Kenya Pipeline Company marks 50th anniversary

Energy and Petroleum Cabinet Secretary, Davis Chirchir, has lauded KPC’s strides in ensuring the country has a safe and consistent supply of petroleum products over the past 50 years of its operations.

“KPC has remained resilient over the last 50 years of its operations and overcome economic fluctuations, changing regulations and global energy transitions. The Company has innovated and adapted to become the cornerstone of Kenya’s energy sector.

Courtesy of KPC’s storage facilities, Kenya has an 18-days fuel reserve which buffers the Country from fuel supply disruptions due to external factors or unforeseen emergencies. KPC’s storage facilities and reserve systems currently have a cumulative capacity of 887,227 M3 he said.

Chirchir was speaking at KPC’s 50th anniversary stakeholders event held at Kenpipe Plaza.

“As we mark KPC’s golden jubilee today, I wish to assure Kenyans that the Government is committed to capacitating KPC to deliver on its mandate without hindrances. The recent transfer to shares from Kenya Petroleum Refineries Ltd. (KPRL) to KPC is testament to this commitment.

The merger of the two parastatals will foster synergy in the petroleum value chain, increase KPC’s storage capacity, enable execution of the planned capacity enhancement of the pipeline system and manage petroleum and petroleum products price hikes”the CS added.

The KPC Managing Director, Joe Sang, further reiterated that KPC has made great strides in its 50 years of operations and has greatly contributed to Kenya’s economic development.

“Fifty years ago, KPC was only tasked with transportation of petroleum products from Mombasa to Nairobi. Today, KPC runs numerous business ventures which have resulted in increased revenue. KPC boasts an asset portfolio of KES129 billion. Our performance is equally enviable.

The Company recorded a 23% Profit Before Tax of KES7.5 billion for the year ending June 2023 compared to KES6.2 billion achieved for the year ending June 2022. Our 1,342KM countrywide pipeline network with a throughput of 8.1 million M ensures that Kenya’s economic activities are effectively fueled.

“To further enhance the pipeline operations, we recently rolled out parallel pumping for Line V (Mombasa to Nairobi). For a long time, the constrained capacity of Line V inhibited service delivery. We upgraded the pumping mechanism to pump from two pumps, as opposed to one, and achieved a 37% increase in the flow rate from 1,100 M3/hr to 1,300 M3/hr. We now load 7 additional trucks each hour through Line V,he said.

KPC has rolled out a four-month campaign to mark its 50th anniversary dubbed KPC@50: 50 years of transforming lives and building regional economies. The campaign is anticipated to bring together KPC stakeholders.

As part of its future plan, the Company is looking at intensifying its business diversification projects such as provision of Fibre Optic Cables services, storage and transportation of LPG across the country and community outreach activities.

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