The government has directed oil marketing companies to immediately release any stored fuel into the market, warning that withholding supplies is illegal and undermines public interest.

Energy Cabinet Secretary Opiyo Wandayi issued the directive on Wednesday following reports that some dealers were deliberately holding back fuel stocks in anticipation of price adjustments.

“We are aware of reports that some oil marketing companies are holding back products in anticipation of price changes, commercially opportunistic, counter to the public interest, and in direct breach of licensing obligations,” said CS Wandayi.

He reminded all licensed firms of their duty to ensure a steady supply of petroleum products and to sell at prices set under the Energy and Petroleum Regulatory Authority (EPRA) guidelines.

“All licensed oil marketing companies are strongly reminded of their legal obligation to maintain continuous supply and release products at EPRA-gazetted prices,” he said.

The CS cautioned that companies found engaging in storing fuel or other unethical practices risk facing severe penalties.

He emphasised that firms are bound by strict licensing conditions and must not exploit the current global situation for profit.

The directive comes after concerns over global supply disruptions, which have affected fuel availability in several countries.

However, the Energy Ministry maintains that Kenya’s local fuel supply remains stable, warning that any artificial shortages could destabilise the market.

The Petroleum Outlets Association of Kenya (POAK) acknowledged increased demand, attributing it partly to panic buying.

Meanwhile, some oil marketers have cited rising landed costs and operational challenges, even as a significant portion of current stocks was imported before the escalation of tensions in the Middle East in late February.

According to the Energy and Petroleum Ministry and the Kenya Pipeline Company, the country has a fuel reserve capacity of up to 45 days, and officials say should cushion consumers from immediate supply shocks.

Authorities have pledged close monitoring of the sector to ensure compliance, as the government moves to stabilise supply and protect consumers from exploitation