The Kenya Pipeline Company (KPC) is about to assemble a cooking fuel storage facility at the Kenya Petroleum Refineries Ltd (KPRL). The transfer is expected to ease the importation of Liquefied Petroleum Gas (LPG) into the country, growing competition amongst oil marketers and, in turn, bringing down the price of the gas.
The facility can be anticipated to allow players to import cooking gas through the Open Tender System (OTS), a fuel importation mechanism supervised by the Petroleum Ministry that contracts oil corporations with the lowest bids to import petroleum products on behalf of the industry. The bulk storage facility, to be owned by the federal government, may additionally usher in an era of value controls for cooking gasoline.
KPC has started the search for a corporation that it said would offer engineering designs for the proposed facility, which will inform the process of choosing a contractor for the development works.
The consultant may even undertake environmental impact evaluation as well as LPG demand within the Kenyan market. “The proposed new facility is to be designed as a ‘common user’ facility for allotting LPG to involved parties through rail siding, truck loading, and bottling facilities,” mentioned KPC in tender documents.
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“KPC is desirous of implementing storage capability of at least 25,000 metric tonnes within the medium term and 50,000 metric tonnes in the lengthy term subject to affirmation after undertaking the LPG demand examine.” The facility at KPRL, which KPC runs through a lease, might be linked to the second Kipevu Oil Terminal (KOT 2), which is nearing completion.
In 2005, a examine jointly performed by the Ministry of Energy and The World Bank really helpful that LPG storage facilities with total capacities of 8700 tonnes be set up in the three cities together with Nairobi, Mombasa and Kisumu, and the 2 main towns of Eldoret and Nakuru.
Meanwhile, KPC is looking for a transaction adviser to help it conclude the takeover of the defunct KPRL as it seeks to spice up its storage capability. KPRL was positioned under the administration of KPC in 2017 as a storage facility for imported crude oil after Indian investor Essar didn’t revive the country’s only oil refinery.
KPRL has 45 tanks with a complete storage capacity of 484 million litres. About เกจวัดแรงดันแก๊สหุงต้ม is reserved for refined products whereas 233 million litres is for crude oil.
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