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Uganda to Restore Fuel Imports Through Kenya as Neighbor Oil Dispute Settled

CC0 / MEAACT Kenya / KENYA, Mombasa: Photograph taken by the Kenyan Ministry of East African Affairs, Commerce and Tourism (MEAACT) 31 July shows a general view of Mombasa Port on Kenya's Indian Ocean coast
KENYA, Mombasa: Photograph taken by the Kenyan Ministry of East African Affairs, Commerce and Tourism (MEAACT) 31 July shows a general view of Mombasa Port on Kenya's Indian Ocean coast - Sputnik Africa, 1920, 29.03.2024
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Landlocked Uganda filed a lawsuit against Kenya in early January, alleging that Nairobi reneged on an earlier commitment last April to support Kampala's desire to import fuel directly and obstructed the issuance of an oil import license through the port of Mombasa.
The state-owned Uganda National Oil Company (UNOC) is preparing to resume fuel imports through neighboring Kenya after a dispute over oil import licenses was resolved, Uganda's Energy Ministry announced.
"We are pleased to have resolved the legal matter and to move forward with our plans to import fuel through Kenya. This development contributes immensely to our journey to enhancing Uganda's energy security," the statement said.
The decision came after Uganda and Kenya involved in the court dispute decided to withdraw their petitions, the ministry added.
In its complaint, the Ugandan government claimed a right to import through Kenya's pipeline systems and justified access to the port of Mombasa on the basis of the East African Community Treaty.
Kenya had previously refused to grant UNOC a license to operate as a local petroleum seller, citing a number of requirements that UNOC considered "unnecessary as the petroleum products in issue are entirely transit goods not destined for the Republic of Kenya."
In addition, the Ugandan government has asked the court to stop Kenyan oil marketing companies from importing fuel on behalf of Uganda.
Oil pot - Sputnik Africa, 1920, 02.01.2024
Sub-Saharan Africa
Uganda Takes Legal Action Against Kenya in Oil Importation Deal
Kenyan President William Ruto and Ugandan leader Yoweri Museveni met last month to settle a dispute over oil, according to Kenyan media.
In November, Uganda's parliament passed the Petroleum Supply Bill 2023, which gives state-owned UNOC the exclusive right to import and supply all petroleum products destined for the Ugandan market.

The country's Committee on Environment and Natural Resources blasted Kenyan middlemen who "adversely disadvantaged Ugandans in access to petroleum products timely and in the required quantities."

Uganda imports 90% of its petroleum products through Kenya and 10% through Tanzania, according to Kampala.
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