By Macharia Kamau
State-run oil marketer National Oil Corporation of Kenya (NOCK) has failed to deliver a consignment of diesel it was contracted to import on behalf of the industry on time, resulting in a scare that the country might soon experience a major shortage.
The firm was in January contracted to import diesel under the Open Tender System (OTS) that was to be delivered in two consignments.
The first 56,500 metric tonnes, which as is the practice under OTS is supposed to be passed on to other marketers for their wholesale and retail operations, was due for delivery between February17 and 19.
The other 59,700 metric tonnes of diesel is scheduled for delivery between March 1 and 3, but players have expressed doubt as to whether the consignment will be delivered on time.
The Oil Industry Supply Coordination Committee has expressed concern of what the failure by NOCK to deliver both cargoes portends for the country and the region.
In a letter to the Energy Ministry PS on Monday, the committee petitioned the ministry to intervene to avert what it said is an imminent stock out.
"We note with great concern that the delivery window for the first cargo has lapsed. Our efforts to get concrete details from NOCK on both cargoes has been futile," said Jimmy Mugerwa, Kenya Shell chairman on behalf of the Committee in the letter dated February 21.
"The industry, and the region, is now faced with the risk of running dry. You will note that with no information on the actual status of imports from NOCK, the industry cannot make alternative plans."
Nock said the delay was normal, a fact that other marketers that import petroleum products could attest to.
"Such logistical delays are commonplace to the petroleum industry as any other fuel marketer can testify," said Sumayya Athmani acting managing director NOCK.
"NOCK shall communicate before the end of this week on the exact date that the consignment shall be expected at the Port of Mombasa."