What Is The Fate Of The Oil Marketing Companies That Have Been Hoarding Oil?
The energy sector regulator has highlighted the increase in export loads by some marketers in a letter addressed to Petroleum Principal Secretary Andrew Kamau and copied to CEOs of Oil Marketing Companies (OMCs).
Lydia Kadima 
As the country's current fuel shortage enters its third week, the Energy and Petroleum Regulatory Authority (EPRA) has alleged that some oil marketers are shipping out fuel supplies.
“EPRA has analyzed the daily petroleum holdings over the past four weeks and has noted that several OMCs have in the period under review given priority to export loadings while the local market was left to suffer intermittent supply," EPRA Director-General Daniel Kiptoo stated.
Oil retailers blamed the shortages on a lack of understanding about a fuel subsidy implemented by the state last April to keep prices stable amid suspicions of hoarding.
EPRA has proposed a reduction in capacity share for all OMCs that increased their export volumes over the next three import cycles, as well as a corresponding increase to reward marketers who increased their local volume sales.
This is after the fuel shortage in most parts of the country continues to persist despite the regulator and marketers striking a deal last week to end the fuel supply crisis.
Some sources have discp0sed that some marketers are likely hoarding fuel products again in anticipation of EPRA announcing a higher maximum pump price on Thursday this week.
