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Prepare for looming worst fuel shortage yet - Experts

Senior economist, Dr. Fred Muhumuza of Makerere University says that Ugandans should brace themselves for harsher fuel shortages and that they should fill up their fuel tanks at all times as the Kenyan government takes actions directs the country’s treasury to implement the fuel stabilisation program.

Fuel Shortage

As part of the fuel stabilization program, the Kenyan government has arbitrarily ordered two ships carrying products for the entire region to be localised in Kenya which meant offloading the entire consignments into the Kenyan market.

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The ships details have been identified as PMS (Petrol) MT CAMPO, loaded with 133.509 M3 tons (133,5 million litres and AGO (Diesel) MT ELKA, ATHINA, loaded with 104.748 M3 tons (104.7 million litres). Originally, only 60 percent of these consignments should have been reserved for the Kenyan market and the balance of 40% left to cater for the regional market that includes Uganda, Rwanda, Congo and some parts of South Sudan,

It is this chnage that spells a fuel crisis for Uganda, especially when the current supply runs out. Precedent show that when these crises happen, prices go through the roof and it is only a matter of time with this new development.

Economist Fred Muhumuza says, "We only need to scale down on our patterns of life, even when you can afford fuel, don’t be reckless with it."

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He adds, "Uganda is only using Kenya has a transit, they cannot do that, but I don’t expect much, Kenya might stabilise first, quarrel with neighbours and apologise later but when they are stable."

A section of parliamentarians early this week warned of a looming shortage of fuel in the country if the government does not intervene.

The warning came after MPs learned that the Kenya government arbitrarily ordered two ships carrying fuel to be localised in Kenya instead of serving the entire East African community.

This matter was tabled on the floor of parliament as a matter of national importance.

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