Fuel Dealers Anticipate Improved Pump Prices as Uganda Moves to Direct Importation

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Fuel dealers in Uganda are optimistic that the involvement of the Uganda National Oil Company (UNOC) as the sole importer of fuel will lead to better pump prices.

Geoffrey Elyanu, the Supplies and Distribution Manager for VIVO Energy Uganda, shared this expectation during a recent media engagement, emphasizing the company’s preparedness to operate under the new importation framework.

VIVO Energy, a prominent player in the fuels and liquefied petroleum gas (LPG) market and the Shell licensee in Uganda, reassured its commitment to maintaining its reputation for quality supplies. Elyanu stressed that while the supplier has changed, the processes remain the same.

“In regards to quality, remember we still use the same pipeline, the same storage tanks, and we transport our fuel. UNOC doesn’t do that; it only brings it in the vessel, and it goes in the pipeline, and then we pick it up. So, nothing has changed; it is still the same process. We still have the same checkpoints, and still have our same qualified staff who make sure that the product arrives here the same way it left. We still have our laboratories, we still have our inspection processes, so we will continue to serve you 100 percent with no altered fuel because the only change is who we are buying from,” Elyanu explained.

Elyanu also noted that VIVO Energy would continue importing its proprietary fuels, such as Shell V-Power, as well as lubricants and LPG. “UNOC will supply us with 100 percent of our petrol and diesel, but we will continue to bring in the other products,” he added.

Uganda has shifted from relying on fuel supplies from Kenya to direct importation through its government-owned company, UNOC. Earlier this month, up to 170 million liters of fuel were received in Mombasa under this new arrangement.

Elyanu highlighted that VIVO Energy no longer has ongoing contracts with the Kenyan government, as the previous arrangement involved monthly tenders signed between governments, with no dealer participation. Under the new system, dealers, including VIVO, have signed contracts with UNOC to ensure a steady supply, committing to receive 100 percent of their products from this company.

“Just like you, we are supporting UNOC because we know where we are coming from. So, Ugandans should not worry; we should support UNOC in its endeavors to give Uganda independence,” Elyanu concluded.

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