Kenya to construct bulk cooking fuel storage facility

The Kenya Pipeline Company (KPC) is set to construct a cooking fuel storage facility at the Kenya Petroleum Refineries Ltd (KPRL). The transfer is predicted to ease the importation of Liquefied Petroleum Gas (LPG) into the country, increasing competition amongst oil entrepreneurs and, in turn, bringing down the worth of the fuel.
The facility can additionally be anticipated to allow gamers to import cooking fuel through the Open Tender System (OTS), a fuel importation mechanism supervised by the Petroleum Ministry that contracts oil companies with the bottom bids to import petroleum merchandise on behalf of the industry. The bulk storage facility, to be owned by the federal government, might also usher in an era of worth controls for cooking gas.
KPC has started the search for an organization that it mentioned would offer engineering designs for the proposed facility, which is in a position to inform the process of choosing a contractor for the construction works.
The marketing consultant may even undertake environmental influence assessment as nicely as LPG demand in the Kenyan market. “The proposed new facility is to be designed as a ‘common user’ facility for allotting LPG to interested parties via rail siding, truck loading, and bottling facilities,” said KPC in tender paperwork.
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“KPC is desirous of implementing storage capacity of no less than 25,000 metric tonnes in the medium term and 50,000 metric tonnes in the lengthy run subject to affirmation after undertaking the LPG demand study.” The facility at KPRL, which KPC runs through a lease, shall be linked to the second Kipevu Oil Terminal (KOT 2), which is nearing completion.
In 2005, a examine jointly conducted by the Ministry of Energy and The World Bank really helpful that LPG storage services with whole capacities of 8700 tonnes be set up within the three cities including Nairobi, Mombasa and Kisumu, and the 2 main cities of Eldoret and Nakuru.
Meanwhile, KPC is in search of a transaction adviser to help it conclude the takeover of the defunct KPRL as it seeks to spice up its storage capability. ที่วัดแรงดันน้ำ was positioned underneath the administration of KPC in 2017 as a storage facility for imported crude oil after Indian investor Essar failed to revive the country’s only oil refinery.
KPRL has forty five tanks with a complete storage capacity of 484 million litres. About 254 million litres is reserved for refined products while 233 million litres is for crude oil.

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