Sh104bn plan to upgrade refinery
The Kenya Petroleum Refineries Limited which set for an upgrade. Shareholders of the Kenya Petroleum Refineries Limited are set to discuss how to raise Sh104 billion ($1.2 billion) to finance the upgrade of the facility. The move could see the government, which co-owns the refinery with Essar Energy Overseas Limited on equal shareholding, ignore a proposal by the Energy Regulatory Commission (ERC) to shut down the region’s only refinery.
Both shareholders will contribute the amount needed for the upgrade,” said Mr Bansal. The government could not immediately confirm its commitment to finance the upgrading of the Mombasa-based refinery as calls to relevant authorities in the Ministry of Energy and Petroleum as well as the National Treasury went unanswered.
ERC, in a letter dated April 26, 2013 to the former Energy permanent secretary Patrick Nyoike said the economy was losing billions in shillings annually as a result of inefficiencies at the refinery, hinting that shutting down the facility could be a solution to lowering the cost of fuel.... Read the full, comprehensive news article and discuss at The Daily Nation