ERC cancels licence of independent petroleum association over fuel boycott


ERC cancels licence of independent petroleum association over fuel boycott
The Kenya Independent Petroleum Distributors Association (KIPEDA) on strike following the 16%V.A.T on fuel. PHOTO/MOTORISTS' ASSOCIATION TWITTER

In Summary

  • In a statement to newsrooms on Wednesday evening, ERC further accused KIPEDA of intimidating fellow petroleum transporters.
  • The energy regulator further states that: “KIPEDA Holdings Limited is therefore no longer licenced to carry out import, export and wholesale of petroleum products.”
  • Trucks owned by distributors allied to KIPEDA on Monday morning remained parked at the depots in solidarity with a strike called for by the Motorists’ Association of Kenya.

The Energy Regulatory Commission (ERC) has cancelled the licence of the Kenya Independent Petroleum Distributors Association (KIPEDA) for allegedly spearheading a boycott of petroleum products.

In a statement to newsrooms on Wednesday evening, ERC further accused KIPEDA of intimidating fellow petroleum transporters.

“The Commission has grounds to believe that the strike is spearheaded by KIPEDA HOLDINGS LIMITED, a body corporate licensed by the Commission to carry out Import, Export and Wholesale of Petroleum Products (Except LPG),” reads the statement.

“The Commission therefore wishes to inform members of the public that the action by KIPEDA Holdings Limited amounts to economic sabotage and hereby cancels the licence of the said licensee pursuant to Section 85 of the Energy Act No. 12 of 2006.”

The energy regulator further states that: “KIPEDA Holdings Limited is therefore no longer licenced to carry out import, export and wholesale of petroleum products.”

Trucks owned by distributors allied to KIPEDA on Monday morning remained parked at the depots in solidarity with a strike called for by the Motorists’ Association of Kenya.

The Motorists’ Association of Kenya, in a statement signed by Chairperson Peter Murima on Sunday said, “We, therefore, wish to call upon motorists to again express their anger tomorrow Monday 3rdand Tuesday 4th and if possible Wednesday by boycotting fuel and participating in a strike of not going to work in the morning as much as possible.”

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