Kenya: 'We Have a Better Model Than Uganda,' Ruto Defends G-to-G Fuel Deal
[Capital FM] Nairobi -- President William Ruto has defended Kenya's Government-to-Government (G-to-G) fuel importation arrangement, saying the country has adopted a model that is different from and, in his words, better than Uganda's current system.
Nairobi, Kenya – September 21 – President William Ruto has defended Kenya's Government-to-Government (G-to-G) fuel importation arrangement, asserting the country has adopted a superior model compared to Uganda's current system. Ruto made the statement while addressing the arrangement amid renewed scrutiny following Ugandan President Yoweri Museveni's remarks.
Museveni's comments reignited the debate, as he claimed Uganda had moved away from intermediaries and now procures petroleum products directly, citing cost benefits. The Kenyan government maintains the G-to-G arrangement, introduced in 2023, is a response to severe foreign exchange pressures threatening fuel supply and the broader economy.
Under the arrangement, Kenya imports refined petroleum products from Aramco Trading Fujairah FZE, ADNOC Global Trading Ltd, and Emirates National Oil Company (ENOC) on credit terms. The arrangement aims to alleviate US dollar shortages, preserve foreign exchange reserves, and stabilize the Kenyan shilling. Museveni revealed Uganda previously sourced fuel through intermediaries before switching to a new procurement model with Vitol and the Uganda National Oil Company, citing lower premiums for diesel, petrol, and aviation fuel.
The Kenyan government defends the arrangement, stating it allows local oil marketing companies to handle logistics, ensuring a steady supply of petroleum products. The Energy Ministry has also noted that freight and premium charges have been renegotiated, with reductions in September 2023 and March 2025. The controversy has intensified as calls for increased transparency surrounding the G-to-G arrangement grow following Museveni's comments.
Written by urgent.news from Capital FM Kenya's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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