Nairobi — Former Deputy President Rigathi Gachagua has dismissed government claims linking rising fuel prices in Kenya to tensions around the Strait of Hormuz, arguing that the country's fuel imports are sourced directly from Gulf suppliers and do not pass through the disputed waterway.
Speaking during a live broadcast from the United Kingdom on Tuesday, Gachagua accused senior government officials of misleading Kenyans over the causes of the current fuel crisis, while also alleging corruption in the handling of Turkana oil resources.
His remarks came in response to recent comments by Treasury Cabinet Secretary John Mbadi and Energy Cabinet Secretary Opiyo Wandayi, who attributed the rise in fuel prices to instability around the Strait of Hormuz.
"Let me say that we should not be told that we are having a challenge because of the Strait of Hormuz," Gachagua said.
Follow us on WhatsApp | LinkedIn for the latest headlines
"Our fuel does not come from Iran, it doesn't go through the Strait of Hormuz. Our fuel is sold by Abu Dhabi National Oil Company in Dubai and Saudi Aramco in Saudi Arabia. That is where the fuel is processed and therefore this story that we are having a challenge because of the Strait of Hormuz is hot air."
The former deputy president instead blamed high fuel prices on what he termed inflated profit margins embedded in the landed cost of petroleum products.
"The issue, as I have explained, is that William Ruto has loaded very big profits in the landed cost of fuel and that is the way to deal with it," he claimed.
Poor quality fuel
Gachagua also urged motorists, matatu operators and owners of agricultural machinery to reject what he described as poor-quality fuel in the market, warning that substandard petroleum products could cause long-term damage to vehicles and equipment.
"Much as we are saying we want the cost of fuel to come down, all owners of vehicles, private matatu owners and owners of planting equipment must demand the removal of this bad fuel from the market because it will give us problems as we go along," he said.
The former deputy president further escalated his criticism by accusing President William Ruto and Gulf Energy of forcing Tullow Oil to surrender oil exploration and production rights in Turkana through what he described as a questionable transaction worth $120 million (Sh15.6 billion).
According to Gachagua, the government and private investors had created what he termed a "false debt" linked to Turkana oil reserves in order to justify high fuel costs and profit-sharing arrangements.
He alleged that the deal would unfairly benefit private interests at the expense of Turkana residents and called on local communities to resist further exploration until a new government is elected.
"The people of Turkana must rise up to the occasion and say no," he declared.
"They cannot allow William Ruto to take their oil and go with it when this oil and its proceeds can change their lives forever."
Turkana oil
Gachagua claimed proceeds from Turkana oil could instead transform the region through investments in schools, roads, irrigation, hospitals and water infrastructure if managed transparently.
He also accused elected leaders from Turkana of remaining silent over the matter, alleging that most had been compromised "with the exception of the Senator."
The former deputy president acknowledged that his remarks could attract accusations of incitement but defended his stance as necessary advocacy for Turkana residents.
"I know I will be accused of incitement. I am guilty as charged," he said.
"I have a responsibility to speak for the people of Turkana."
His comments came shortly after transport sector leaders suspended a nationwide matatu strike for one week following renewed negotiations with the government over soaring diesel prices.
The strike, which had disrupted transport services across the country, was temporarily called off after fresh talks between government officials and public transport stakeholders.
Operators, however, maintained that the Sh10 reduction in diesel prices announced by the government remained insufficient, insisting they were still pushing for a cut of between Sh30 and Sh46 per litre.