Kenya Blocks Foreign Firms From Sh4.9B Fuel Upgrade Project In Western Kenya

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Nairobi, Kenya – The Kenya Pipeline Company (KPC) has barred foreign firms and joint ventures from bidding on a Sh4.9 billion project to upgrade fuel transport infrastructure in western Kenya and neighboring countries.

The move aims to boost local businesses and keep funds within Kenya, officials said. Only Kenyan-owned companies will now compete for the lucrative contract.

Why the Sudden Shift?

KPC’s decision aligns with the government’s push for local content participation, ensuring profits circulate within Kenya’s economy. Critics, however, warn that excluding international expertise could delay the project.

Kenya Pipeline Company has barred foreign firms and joint ventures from bidding for a Sh4.9 billion project to upgrade fuel transport to western Kenya and nearby countries.

This was due to KPC’s aim to support local businesses and prevent money from leaving the country

— Moe (@moneyacademyKE) April 14, 2025

What’s at Stake?

The upgrade will enhance fuel delivery to western Kenya, Uganda, Rwanda, and DR Congo, easing supply bottlenecks. With rising demand, KPC insists local firms can handle the job.