Nairobi — Detectives from the Directorate of Criminal Investigations have arrested senior government and energy sector officials over alleged manipulation of fuel supply linked to quality concerns.
Those detained include Energy Principal Secretary Mohamed Liban, Energy and Petroleum Regulatory Authority Director General Daniel Kiptoo, and Kenya Pipeline Company Managing Director Joe Sang. A senior petroleum official, Simon Wafula, was also taken in for questioning.
The arrests were carried out in a coordinated operation on Thursday night, with investigators searching homes and recovering documents and cash as part of a widening probe into suspected interference in the petroleum supply chain.
Authorities are investigating claims that a fuel consignment imported under the government-to-government programme was flagged over quality issues. The shipment is suspected to have contained fuel with elevated sulphur levels, making it non-compliant with Kenyan standards.
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A quality assurance manager at the pipeline company reportedly declined to approve the discharge of the fuel after tests, triggering internal disagreements before the matter was escalated to investigators.
The probe comes amid concerns over fuel supply stability, with Kenya relying on long-term import deals with Gulf firms such as Saudi Aramco, Abu Dhabi National Oil Company, and Emirates National Oil Company under a 180-day credit arrangement.
The programme, recently extended to 2027/2028, has helped cushion the country from global oil price shocks, though it has faced scrutiny over pricing and procurement.
Current stocks stand at about 16 days for petrol, 19 days for diesel, and 49 days for jet fuel and kerosene, offering short-term stability as new shipments are expected this month.
Treasury Cabinet Secretary John Mbadi said the current fuel pricing cycle is unlikely to be affected immediately, noting that existing shipments were secured before recent geopolitical tensions.
However, he warned that rising global tensions could push prices higher in the coming months. The government plans to deploy about Sh17 billion from the petroleum stabilisation fund to cushion consumers, alongside possible tax measures.
President William Ruto said the government is closely monitoring global developments and working with agencies to manage any impact on the local market.
Authorities maintain that fuel supply remains stable as investigations into the alleged artificial shortage continue.
