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Oil marketing firms seek penalties waiver extension


The East African
Monday December 21 2020
Kenya’s ageing penalties were introduced in 2017 to encourage faster evacuation for steady supply of petroleum products from importation, discharge, storage to transportation. PHOTO | FILE
Summary
The push for an extension of the penalty waivers started in October when OMCs under the umbrella of the Supply Co-ordination Committee (SCC) wrote to KPC arguing that the business environment was yet to return to normal.
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The Kenya Pipeline Company (KPC) is embroiled in a silent war with oil marketing companies (OMCs), who are demanding an extension on waivers of penalties accorded to petroleum products storage.
The penalties waivers were offered by KPC in March in the face of a decline in petroleum products demand due to the Covid-19 pandemic. They expired in September and OMCs are seeking to have them extended to the end of the year. ....

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