Kenyan detectives have arrested four senior energy officials, including the managing director of the state pipeline company, over suspected interference in the country’s petroleum supply chain, authorities said, in a case linked to fuel quality concerns and recent supply disruptions.
The Directorate of Criminal Investigations (DCI) said those arrested include Energy Principal Secretary Mohammed Liban, energy regulator chief Daniel Kiptoo, Joe Sang, and Energy Ministry chief economist Joseph Wafula.
They were picked up from their homes and are being investigated under economic crimes laws for suspected failure to maintain proper records, stocks and reserves of petroleum products, according to officials familiar with the matter.
The probe was triggered by a fuel consignment imported under a government-to-government (G2G) deal that was flagged for elevated sulphur levels, exceeding Kenya’s regulatory standards.
A quality assurance manager at Kenya Pipeline Company halted distribution of the shipment and escalated the issue, officials said, effectively removing part of the supply from the market.
Authorities now believe the decision to hold back the consignment contributed to supply disruptions that triggered fuel shortages in recent weeks, which had initially been attributed to geopolitical tensions linked to Iran.
Energy Cabinet Secretary Opiyo Wandayi had earlier ordered oil marketing companies to release hoarded fuel, warning that withholding stocks is illegal and breaches licensing obligations.
Government data shows Kenya currently has fuel cover of about 16 days for petrol and 19 days for diesel, while jet fuel and kerosene stocks stand at about 49 days.
To stabilise the market, the government plans to deploy about 17 billion Kenyan shillings ($130 million) from the petroleum stabilisation fund to moderate pump prices over the next three months.
Officials have also warned that rising tensions in the Middle East could pose risks to future fuel prices, although current supply shipments remain largely unaffected.
The arrests mark a rare move against senior officials in Kenya’s energy sector and could heighten scrutiny of fuel supply management in the region, where countries such as Uganda depend heavily on Kenyan import and transit infrastructure.
The suspects had not publicly commented on the allegations at the time of publication.