Ruto downplays rivalry over oil refinery in East Africa

Ruto downplays rivalry over oil refinery in East Africa

President William Ruto has played down suggestions of rivalry between Kenya, Uganda and Tanzania over competing refinery projects, saying East Africa’s growing demand for petroleum products can support several facilities across the region.

Speaking during a media interview at State House Mombasa, Ruto said Kenya had no objection to Uganda and Tanzania pursuing their own refinery projects, arguing that the different facilities could complement rather than compete with one another.

“There is no bad blood at all. There is no problem,” Ruto said.

His remarks came a day after he presided over the groundbreaking of the Lamu refinery project, which the government is positioning as a major component of a wider industrial complex on the Kenyan coast.

Ruto said he had discussed Uganda’s plans with President Yoweri Museveni and agreed that Kampala could proceed with a smaller refinery without threatening Kenya’s investment in Lamu.

He said Kenya would even be prepared to buy petroleum products from Uganda if they could reach the Kenyan market at competitive prices.

“If it is manufactured there in Uganda and the oil from that place is near Busia, and it can reach Busia at a lower price, we will buy oil from anywhere and bring it to Busia,” Ruto said.

The President argued that the size of the regional petroleum market meant there was room for more than one refinery.

“This one in Lamu cannot serve all of us; it will be necessary to expand,” he said, adding that East Africa had “enough opportunity” for multiple facilities.

Ruto also extended the same approach to Tanzania, saying Kenya could participate in a refinery project in Tanga if it is eventually developed.

“Even if the one in Tanga is built, we as Kenya will go and buy some shares there. There is no problem,” he said.

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