Kenya Kwanza MPs Scoff at Raila Odinga Dossier on Govt-to-Govt Oil Deal

13 November 2023

Nairobi — Top lawmakers within the Kenya Kwanza Alliance have scoffed at the threats by Azimio La Umoja One Kenya Leader Raila Odinga to spill the beans on the much-taunted government-to-government oil deal.

Odinga had revealed he has an exposing dossier on the G to G oil deal arguing that Kenya would significantly ease the pressure on the dollar, allowing other traders and importers to access the currency for their bills.

President William Ruto's government opted for government-to-government oil supply contracts in March this year after the shilling tumbled to record lows.

National Assembly Majority Whip Sylvanus Osoro asked Odinga to reveal the truth of not only the G to G deal but also the companies that reaped heavily from the fuel subsidies deal that were adopted to cushion Kenyans from high fuel prices.

"I want that dossier but it shouldn't just be about this government but also those of previous regimes. That dossier should start with the handshake government and it should elaborate the companies that reaped from the fuel subsidies," Osoro stated.

Kiharu MP Ndindi Nyoro criticized the Azimio La Umoja Leader urging him to offer a solution to the government instead of poking holes with no substantive recourse.

"Their work is just bashing the government and throwing stones to the government. I am grateful they have stopped throwing stones because even if you criticize words cannot hurt.Words don't cause closure of business. Let them focus on opposition mandate," Nyoro said.

Yesterday, Odinga termed the government-to-government oil deal a scam aimed at ripping off Kenyans who are already burdened by the high cost of living.

He disclosed he had a list of 30 top-ranking government officials who were scamming Kenyans through the government-to-government oil deal by alleging they had added an additional Sh 30 to oil prices through the deal.

"I can say without fear of contradiction that in the Sh 217 fuel prices,Sh 30 goes to some people's pocket.The real fuel price should be Sh 187.Governmnet to Government oil deal is a big scam and next week I will release the expose,"Odinga said.

The Opposition Leader said the revelations prompted the move by the Ugandan government to stop the purchase of petroleum products from Kenya, saying middlemen inflated prices by up to 59 percent, inflicting avoidable pain on consumers.

President Yoweri Museveni said Uganda has now contracted bulk suppliers and refineries to service its requirements, adding that his country has discussed the decision with both Kenya and Tanzania.

Museveni said a refinery scheduled to be built in Uganda would be a game-changer in petroleum pricing in the region.

The move by Uganda deals a heavy blow to Kenya's OMCs which have been supplying 90 percent to Uganda through their associates there.

The firms have been earning billions of shillings in revenue from transiting fuel to Uganda, which will not only affect local jobs but also reduce tax revenue collection.

In March,the government ditched the Open Tender System (OTS) that has been in use for importing fuel for nearly a decade in favour of direct procurement under a government-to-government deal with Saudi Arabia and the United Arab Emirates.

In the G-to-G deal, the three Gulf State-owned firms Saudi Aramco, Abu Dhabi Oil Company (ADNOC), and Emirates National Oil Company (Enoc) were given leeway to handpick local oil marketing companies which would distribute fuel on their behalf.

Gulf, Oryx, and Galana were the local oil marketing companies that were handpicked to distribute the fuel products to other oil companies for the duration of the deal.

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