6 December 2018

Kenya: Munyes Skips Grilling On KPC Scandals Over Logistical Problems

Petroleum and Mining Cabinet Secretary John Munyes did not face the Senate Energy committee as expected on Thursday, for questioning on the oil spill and other scandals that the Kenya Pipeline Company is facing.

Mr Munyes, who was to appear in the morning, told reporters that he was not looking down upon the Senate and that he faced logistical challenges. He promised to face the senators next week.

"NOTHING PERSONAL"

The minister noted that four committees want to question him on various matters.

"I'll be available next week. There is nothing personal," he told journalists in his office.

The committee chaired by Nyeri Senator Ephraim Maina summoned CS Munyes on Wednesday as he did not appear for questioning on the Sh2.5 billion oil spill scandal.

At the time he was scheduled to face the committee, he was said to have been in a meeting elsewhere.

However, Narok Senator Ledama Ole Kina, a member of the committee, earlier accused the CS of dodging them when critical issues need to be addressed.

SANG' SUCCESSOR

The company, whose chief executive Joe Sang will leave in April 2019 as his contract has ended, has been in the news for all the wrong reasons.

Mr Munyes will shed light on issues including the extent of losses of oil in volumes and in cost, the status of the performance of Line 5 of the Mombasa-Nairobi pipeline, its completion and capacity to date as well as allegations of financial misappropriation.

In his address today, he said Mr Sang has gone on leave and will be back in January, when the recruitment of his successor will begin.

INVESTIGATION

A team comprising government officials and oil marketers will investigate the losses the company has incurred in oil transmission.

The fuel scandal has forced 10 leading oil marketers to protest and demand a forensic audit of their stocks.

The KPC has no fuel of its own so it holds stock in its system on behalf of the marketers.

The company has also been questioned on the Sh48 billion, 450-kilometre Mombasa-Nairobi Line 5 pipeline enhancement project, work that was awarded to Lebanese firm Zakheem Limited.

Another case is that of a Sh600 million tender awarded to Aero Dispenser Valves Limited, for the supply of aircraft refuelling equipment for Nairobi's Jomo Kenyatta International Airport,

The tender was awarded by former KPC Managing Director Charles Tanui. The firm's owner - Mr Francis Juma - has already been charged in court following investigations by the Ethics and Anti- Corruption Commission

Kenya

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