Page 14 - DMEA Week 13 2022

DMEA NEWS IN BRIEF DMEA

new administrative government in Tehran. happened at one of the filling tanks of the who rely on the fossil fuel for lighting and
Condensates accounted for a significant refinery, was not immediately clear, and cooking.
part of Iranian crude oil exports before the authorities launched a comprehensive “There is a need to cushion poor
United States imposed its unilateral sanctions investigation. households from high kerosene prices given
on Iran in 2018. The injured have been rushed to nearby that kerosene is the only fuel product affected
Shipments declined significantly after hospitals, the report said. by the anti-adulteration levy,” Mutoro said in a
major customers like South Korea stopped A fire broke out after the explosion and was proposal submitted to National Treasury and
imports from Iran to comply with American extinguished in a short time, it added. Planning Cabinet Secretary Ukur Yatani.
sanctions. TUPRAS operates four refineries across The lobby group has called for setting up
Oil minister Owji says Iran’s crude floating the country, and the refinery in Kocaeli strategic oil reserves and putting in place
storage has been reduced by over 20 million processes 11.3 million tons of crude oil per budgetary allocation for buying stock to
barrels. year, accounting for 33 percent of Turkey’s shield consumers when prices of crude oil and
That comes as Iran has been facing an petroleum products consumption. refined oil products rise by a high margin.
increased supply of condensate from its XINHUA “If Kenya has storage capacity, would
South Pars gas field in the Persian Gulf where have stored 90-day stocks of cheap oil when
natural gas production has more than doubled price had fallen to $25 a barrel during the
over the past decade. FUELS coronavirus (COVID-19) pandemic and
Owji did not elaborate on more details release it when prices are high to stabilize
about increased condensate shipments from Kenya pressured to scrap market prices,” said COFEK.
Iran including to where they have been sent. It wants a strategic role given to the
However, unconfirmed reports have LPG tax National Oil Corporation of Kenya (NOCK)
suggested that private buyers in China have and the state-owned enterprise given
imported large cargoes of Iranian crude in late The Consumers Federation of Kenya resources to undertake the mandate with
2021 and early this year. (COFEK) is lobbying the government to scrap capacity enhancement phased over a period
The minister reiterated his previous the 16% VAT levied on liquefied petroleum of time. The rationale is anchored in achieving
statements about Iran’s success to reduce large gas (LPG) to make the commodity affordable security of supply and stable petroleum
inventories of crude that has been floating on and help reduce dependence on firewood and products prices.
sea since the sanctions were imposed. charcoal for domestic cooking. BNE
He said condensate supply to domestic LPG is a clean source of energy with
customers had increased over the past eight high calorific value while overdependence Expert blames jet A1
months, allowing a better management of on firewood and charcoal for cooking
crude storage facilities in south of Iran. is responsible for Kenya’s high rate of scarcity on malfunctioning
PRESSTV deforestation in water catchment areas,
COFEK argues. refineries
“We propose that VAT on LPG be
REFINING abolished, or charged at 8% similar to The present scarcity of Jet A1 popularity
petroleum products. The purpose of this is to known as aviation fuel has been blamed on
At least 4 wounded in oil remove the burden on ‘Wanjiku’ who rely on the inability of the government to put the
country’s refineries in order.
LPG cooking, and to help increase uptake of
refinery blast in Turkey this clean cooking energy,” said COFEK. operations at the Nigerian Aviation Handling
An aviation expert and a former director of
Wanjiku is a female name among the
At least four workers were wounded in an Kikuyu ethnic group but it is also used in Company (NAHCO), Mr Hurbert Odika
explosion at an oil refinery in northwest Kenya in reference to everyday people. while stating this, also traced the hike in
Turkey, local media reported on Friday. COFEK’s proposal came in response to the airfares to the airlines’ running cost.
The blast occurred at the Turkish Treasury recently asking people to comment Odika explained, that the industry would
Petroleum Refineries Corporation on policy and tax measures in the draft never had witnessed the current economic
(TUPRAS)’s facility in the Kocaeli province, 2022/23 budget. predicament caused by the shortage of
about 100 km to the country’s largest city Group chief executive Stephen Mutoro said aviation fuel in the sector if the refineries were
Istanbul, reported the Ihlas news agency. an anti-adulteration levy on kerosene needs to functioning.
It said the cause of the incident, which be halved to remove the burden on ‘Wanjiku’ According to Odika: “We will refine here

P14 www. NEWSBASE .com Week 13 31•March•2022