The government of Kenya has accused oil marketers of hoarding fuel amid rising fears of a global price surge linked to escalating tensions involving the United States, Israel and Iran, even as it moved to assure Kenyans that the country has sufficient petroleum reserves.
In a statement relayed during a live interview on Monday, March 23, Principal Secretary in the State Department for Petroleum, Mohamed Liban, said the country is not facing a supply crisis, attributing recent shortages in some areas to market behaviour rather than actual stock deficits.
“We have sufficient stock in the country,” Liban said, adding that the situation had been worsened by speculation, panic buying and what he termed as operational challenges affecting the distribution of super petrol.
According to the PS, concerns over a possible spike in global oil prices have triggered hoarding by some oil marketers, who are anticipating higher returns in the coming pricing cycle.
He noted that the trend has coincided with a steady rise in international fuel prices over the past two weeks.
Liban revealed that over 100 million litres of super petrol had already been received into the country, a volume expected to sustain national demand for more than 10 days and ease pressure on supply chains.
He added that the Energy and Petroleum Regulatory Authority (EPRA) is actively addressing the situation to ensure normal supply resumes across affected regions.
“EPRA is currently dealing with hoarding by oil marketers due to the anticipation of price jumps,” he stated, noting that some dealers had run lean on stock in recent days, further intensifying shortages.
The developments come against the backdrop of rising geopolitical tensions in the Middle East, where conflict involving the United States, Israel and Iran has heightened fears over global energy security.
Iran has reportedly taken steps to partially restrict movement through the Strait of Hormuz, a key maritime corridor that handles more than 20 percent of the world’s crude oil and liquefied natural gas shipments. Any disruption along the route has immediate ripple effects on global fuel prices.
Amid the standoff, U.S. President Donald Trump has issued warnings over the potential closure of the passage, while Iran has threatened retaliatory action targeting energy infrastructure if tensions escalate further.
Kenya, which imports the bulk of its refined petroleum products, remains highly exposed to such global shocks. However, the government maintained that current local prices remain stable, noting that the latest pricing cycle by EPRA, covering March 15 to April 14, is based on earlier shipments that had not yet been affected by the unfolding crisis.
Authorities now say the focus is on stabilising local supply and curbing hoarding, even as global developments continue to shape expectations in the energy market.