The Kenya Pipeline Company (KPC) is ready to construct a cooking gasoline storage facility at the Kenya Petroleum Refineries Ltd (KPRL). The move is predicted to ease the importation of Liquefied Petroleum Gas (LPG) into the nation, rising competition amongst oil entrepreneurs and, in flip, bringing down the value of the fuel.
The facility is also anticipated to allow players to import cooking gas via the Open Tender System (OTS), a gas importation mechanism supervised by the Petroleum Ministry that contracts oil firms with the bottom bids to import petroleum products on behalf of the business. The bulk storage facility, to be owned by the government, might additionally usher in an period of value controls for cooking fuel.
KPC has started the search for an organization that it said would offer engineering designs for the proposed facility, which is able to inform the method of selecting a contractor for the construction works.
The advisor may also undertake environmental influence evaluation as properly as LPG demand in the Kenyan market. “The proposed new facility is to be designed as a ‘common user’ facility for dispensing LPG to fascinated events through rail siding, truck loading, and bottling services,” mentioned KPC in tender documents.
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“KPC is desirous of implementing storage capability of a minimal of 25,000 metric tonnes within the medium term and 50,000 metric tonnes in the lengthy run subject to confirmation after endeavor the LPG demand study.” The facility at KPRL, which KPC runs by way of a lease, will be linked to the second Kipevu Oil Terminal (KOT 2), which is nearing completion.
In เกจวัดแรงลม , a research jointly conducted by the Ministry of Energy and The World Bank recommended that LPG storage services with whole capacities of 8700 tonnes be arrange within the three cities including Nairobi, Mombasa and Kisumu, and the two main towns of Eldoret and Nakuru.
Meanwhile, KPC is seeking a transaction adviser to help it conclude the takeover of the defunct KPRL as it seeks to spice up its storage capability. KPRL was placed beneath the management of KPC in 2017 as a storage facility for imported crude oil after Indian investor Essar didn’t revive the country’s solely oil refinery.
KPRL has 45 tanks with a total storage capability of 484 million litres. About 254 million litres is reserved for refined merchandise whereas 233 million litres is for crude oil.