Rwanda has received its first shipment of 40,000 metric tonnes of refined petroleum products through Kenya's Northern Corridor. The cargo, which arrived at the Port of Mombasa, marks the activation of a new import route designed to improve fuel supplies to the landlocked country. The shipment was received at the Kenya Pipeline Company's Kipevu Oil Terminal 2 by Energy and Petroleum Cabinet Secretary Opiyo Wandayi.
The agreement to establish this new petroleum supply route was signed by Kenya and Rwanda in June. The framework is expected to increase the volume of petroleum products transported through the corridor to Rwanda tenfold in the coming years. Kenya Pipeline Company's acting managing director Pius Mwendwa stated that Rwanda-bound volumes through Kenya are expected to rise from approximately 60,000 cubic metres annually to 600,000 cubic metres.
The cargo comprises petrol and diesel, equivalent to close to a month of Rwanda's consumption. Opiyo Wandayi assured the Rwandan government of Kenya's commitment to provide Rwanda with access to global energy markets through the Northern Corridor. He emphasized that Kenya has positioned itself as a major regional logistics and energy transit hub.
The arrangement covers the transportation, storage, scheduling, and handling of Rwanda-bound petroleum products through Kenya's port and pipeline infrastructure. Mwendwa explained that the development represents a significant expansion of its regional petroleum transit business. The company operates a 1,342-kilometre pipeline network capable of moving about 14 billion litres of petroleum products annually, alongside 1.138 billion litres of storage capacity.
Rwanda's Minister of Infrastructure Armand Zingiro stated that the new route aims to diversify Rwanda's petroleum supply channels and strengthen the country's energy security. As a landlocked country, Rwanda imports all its petroleum products. Zingiro added that recent disruptions in global shipping and market volatility had highlighted the need for alternative import routes and stronger regional partnerships.
The development also deepens Rwanda's economic involvement in Kenya's petroleum infrastructure. Rwanda has invested in KPC following its listing on the Nairobi Securities Exchange, further linking the two countries' energy sectors. Kenya Ports Authority managing director William Ruto said Kipevu Oil Terminal 2 can handle four vessels simultaneously, reducing vessel waiting time and the cost of doing business.
The expanded capacity of Kipevu Oil Terminal 2, commissioned in 2022 at a cost of about Sh40 billion, is now handling three vessels carrying petroleum products for Kenya, Uganda, and Rwanda. Extended storage arrangements at Kipevu will give Rwanda greater flexibility as it expands domestic storage capacity.
Key points
- The new import route is expected to increase the volume of petroleum products transported through the corridor to Rwanda tenfold in the coming years.
- The development represents a significant expansion of Kenya Pipeline Company's regional petroleum transit business.
- The new route aims to diversify Rwanda's petroleum supply channels and strengthen the country's energy security.
