Turkana-Mombasa crude oil transport starts in May
CS says 90,000 barrels of crude have already been stored in tanks ready to be moved to Changamwe refinery. They will be transported by road daily adding that 30 per cent of the trucks will be sourced from locals.Mr Munyes is expected to meet Turkana Governor Josphat Nanok in a bid to address outstanding issues on oil, especially revenue sharing.
Transport of crude oil from Turkana fields to Mombasa under a pilot scheme starts by the end of May, Petroleum secretary John Munyes has said. Mr Munyes, while on a tour of Turkana County on Thursday, said 90,000 barrels of crude have already been stored in tanks ready to be moved to Changamwe refinery.The CS said 2,000 barrels will be transported by road daily adding that 30 per cent of the trucks will be sourced from locals.“Allowing oil to leave for Mombasa will be the only opportunity for businesses to pick up in the county and especially in Lokichar town. Jobs will be created for the locals,” Mr Munyes said in Lokichar town.
Queries as State says only 7.4pc jobless
Report on richest and poorest counties out
He told locals that the Local Content Bill will address concerns raised by residents when it becomes law.“An advisory committee will also be set up with officials elected by the community to ensure the rights of local communities concerning jobs and tenders are protected,” he said.Mr Munyes is expected to meet Turkana Governor Josphat Nanok in a bid to address outstanding issues on oil, especially revenue sharing.Top on the table will be the hotly disputed reduction in the share of revenues for local communities from 10 per cent to five per cent.Parliament passed a draft Bill in 2016 allocating 20 per cent of oil revenue to local government and 10 per cent to communities living where the crude lies, leaving 70 per cent for the central government in Nairobi. However, President Uhuru Kenyatta did not sign the Bill. A revised version of the Bill due to be debated in Parliament this month cuts the regional government share to 15 per cent, with only 5 per cent for local communities.Kenya discovered commercial oil reserves in its Lokichar basin in the country’s northwest in 2012. Recoverable reserves are estimated at 750 million barrels. Last year, the country signed an agreement for a feasibility study on a proposed pipeline to transport crude oil from the oilfields to Lamu.Turkana South MP James Lomenen, who is a member of the National Assembly Energy Committee, said that the elected lawmakers should lobby for the increase in the percent of share for the locals.