Petroleum and Mining Cabinet Secretary John Munyes estimates that up to $1million (Sh100m) has been lost in the Turkana oil stand-off, despite a truce engineered by Turkana leaders last week allowing resumption of the early oil transportation programme.
The CS said yesterday that protests in parts of Turkana led to the losses after residents blocked transportation of more oil to Mombasa from Turkana over rising insecurity and lack of jobs.
The incident along the Lokichar-Kapenguria road on June 27 saw residents block five trucks ferrying crude oil to Mombasa at Kalemngorock Centre.
“Millions had already been lost from those protests before an agreement was reached to pave way for the transportation of oil to Mombasa,” Munyes said in Nairobi as he called for deeper engagements and consultations with stakeholders to avert possible future protests.
In the list of demands by the locals includes calls for recovery of stolen livestock, sharing of oil jobs and tenders in the county.
The CS was speaking when he witnessed the signing of a lubricants distribution deal between Oman Oil Marketing Company (OOMC) and Kenya Oil marketer Hass Petroleum Group, in a pact that will see the duo enhance distribution of lubricants in the local market.
He also expressed fears over counterfeit petroleum products in the market, warning the public against the products believed to be harmful to not only motorists and industries.
Munyes said the $180million (Sh18b) industry was under serious threat from the vice annually, and could negate Kenya’s efforts into the lucrative oil exporter status, but was coy in revealing how much the industry loses in the illegal trade.