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{
    "id": 556344,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/556344/?format=api",
    "text_counter": 95,
    "type": "speech",
    "speaker_name": "Hon. Keynan",
    "speaker_title": "",
    "speaker": {
        "id": 41,
        "legal_name": "Adan Wehliye Keynan",
        "slug": "adan-keynan"
    },
    "content": "Hon. Speaker, the matter of restructuring of the Kenya Petroleum Refinery Limited (KPRL) was raised on the Floor of the House in 2013, when the Leader of the Majority Party, the Hon. Duale, alerted the House on irregularities regarding the ownership structure of the corporation. Thereafter, on 24th September 2013, the Leader of the Majority Party appeared before the Committee, as a friend of the Committee, and elaborated on certain pertinent issues regarding the ownership of the KPRL. Allow me to give a background of the matter before the House. The KPRL was originally set up by the Shell and British Petroleum Company to serve the East African region in the supply of wide varieties of oil products in 1959. The Company was incorporated in 1960 as the East African Oil Refinery Limited (EAORL), but later changed its name to Kenya Oil Refinery Limited in 1983. KPRL’s main products included Liquefied Petroleum Gas (LPG), unleaded premium gasoline, regular petrol, automotive gas oil, industrial diesel, fuel oil and specified products like bitumen and grease. Having started its operations in 1960, the Company finally stopped its operations on 4th September 2013. The Company was running inefficiently leading to the consumers of oil products being charged at an extra Kshs3.61 per litre attributed to outdated technology. As a result of this serious challenge, a facility that was supposed to be the only oil facility not only in Kenya, but in the entire East African region - Kenya is the gateway to the East African region - finally shut down its operations on 4th September 2013 because of inefficiency, mismanagement and poor business practices. As a result of this, the Government of Kenya, as usual--- When a public entity fails to discharge its functions, the trend has been over the last few decades to shop around and find out whether there are any interested individuals or entities willing to partner with the Government in order to revitalise the operations of that entity. Therefore, the Government of Kenya on 31st July 2009 entered into an agreement with a company called Essar Energy Overseas Limited (EEOL) - I will shortly explain the history of that company - in order to achieve a major objective of upgrading and modernising the Refinery. The agreement was signed to ensure the modernisation of the Refinery to achieve the following: (i) enhance the capacity of the facility; The electronic version of the Official Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor."
}