Our supply remains secure,' Wandayi assures Kenyans on fuel stocks

Energy and petroleum CS Opiyo Wandai, allay fears on the fuel shortage in the country on July 14, 2026. [Edward Kiplimo, Standard].

 

Energy Cabinet Secretary Opiyo Wandayi has assured Kenyans that the country holds adequate fuel stocks and that the Middle East conflict has not disrupted the availability of petroleum products.

Speaking on Tuesday, July 14, amid growing concerns over rising global oil prices, Wandayi said Kenya's fuel supply remains secure even as renewed military escalation around the Strait of Hormuz continues to unsettle international energy markets.

"Our supply remains secure. Every scheduled cargo has arrived and offloaded on time, and fuel has remained available at the pump throughout the country," he said.

The Strait of Hormuz is one of the world's busiest oil transit routes. Recent attacks on commercial vessels have reduced tanker traffic, raising fears of supply disruptions and price increases globally.

Wandayi credited Kenya's escape from the crisis to the Government-to-Government (G2G) fuel import arrangement, which has enabled the country to source petroleum from multiple regions while maintaining stable freight costs.

Unlike countries relying on spot market purchases, he explained, Kenya continues to benefit from fixed freight and premium charges under the G2G deal, insulating consumers from sharp increases in transport and insurance costs triggered by the regional conflict.

The assurance comes amid anxiety among motorists, transport operators and manufacturers over possible fuel shortages and another round of price hikes. 

International crude prices have remained volatile since tensions escalated in the Gulf region, with analysts warning that prolonged instability could push energy costs higher worldwide.

Kenya introduced the G2G fuel import programme in 2023 to ease pressure on foreign exchange reserves and stabilise the local fuel market. 

Selected oil marketing companies import fuel on behalf of the country under extended credit terms, reducing demand for US dollars and cushioning the shilling against depreciation.

Although the government acknowledged that international benchmark prices have started rising again, Wandayi noted that measures have been put in place to shield consumers from immediate increases.

He announced that the government, in consultation with the National Treasury, has extended the application of the 8 per cent Value Added Tax (VAT) on petroleum products for another three months until Wednesday, October 14. 

The government will also inject Sh945 million from the Petroleum Development Levy during the July to August 2026 fuel pricing cycle to maintain current pump prices.

"These interventions reflect our broader commitment to protecting consumers, supporting businesses and safeguarding the economy from external shocks while ensuring that petroleum products remain as affordable as possible," Wandayi observed.

He added that Kenya has invested heavily in strengthening its petroleum supply chain, improving storage capacity and enhancing import systems to withstand global market shocks. 

The investments, Wandayi noted have made the country's fuel supply more predictable and resilient despite increasing geopolitical uncertainty.

Wandayi reassured motorists, transport operators, farmers, manufacturers and investors that fuel supply across the country remains sufficient.

He pledged continued monitoring of global developments to ensure uninterrupted supplies.

"I wish to reassure all Kenyans that these global developments have not affected the availability of petroleum products in our country," he added.