Press Center | Freight Shipping Logistics News
Sep 28, 2010
General
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The Ministry of Energy has introduced a new centralised tender system for importation of refined fuel destined for Uganda, Rwanda, Burundi and Democratic Republic of Congo.
The Ministry of Energy has introduced a new centralised tender system for importation of refined fuel destined for Uganda, Rwanda, Burundi and Democratic Republic of Congo.
Energy permanent secretary Patrick Nyoike said only companies with import and trading licences in Uganda and the other countries will be allowed to participate in the open tender system (OTS) of transit fuel.
“You are therefore invited to submit bids on Tuesday September 28, 2010 by 2.30 p.m. being time for their opening,” he said in a letter sent to chief executive officers of oil marketing firms.
It was copied to Uganda’s Energy PS Kalisa Kabagambe, customs commissioner Wambui Namu, Kenya Pipeline Company (KPC) managing director Selest Kilinda and Kenya Ports Authority (KPA) managing director Gichiri Ndua.
Under OTS a company that submits the lowest bid imports either crude oil or refined petrol, diesel and kerosene on behalf of other marketers.
Mr Nyoike said unprogrammed private imports had been identified as primary causes of congestion at the port of Mombasa and attendant demurrage charges (penalties paid to tanker owners).
Sh2.8 million ($35,000) is the demurrage paid daily to a tanker owner when a ship ferrying fuel fails to discharge the cargo in Mombasa in good time due lack of storage space.
No private imports
Mr Nyoike said marketers had on September 20, 2010 been informed by the ministry that no private imports for transit markets shall be allowed through Kipevu Oil Storage Facility in Mombasa from individual marketers.
He said such cargo shall be aggregated for all the transit marketers and processed through the Ullage (storage space) Allocation Committee.
The PS reminded marketers through a letter on Monday that they have to participate in transit tender as there will be no more unscheduled imports.
He said the Free on Board (FOB) for October 2010 imports shall be based on the five days bill of lading.
From November 2010, all shall have FOB based on mean of the month as is the case with crude oil tenders.
A bill of lading is a document issued by a transporter acknowledging receipt of specified goods for conveyance (transport) to a named place, setting terms of contract besides providing for proper delivery.
Energy permanent secretary Patrick Nyoike said only companies with import and trading licences in Uganda and the other countries will be allowed to participate in the open tender system (OTS) of transit fuel.
“You are therefore invited to submit bids on Tuesday September 28, 2010 by 2.30 p.m. being time for their opening,” he said in a letter sent to chief executive officers of oil marketing firms.
It was copied to Uganda’s Energy PS Kalisa Kabagambe, customs commissioner Wambui Namu, Kenya Pipeline Company (KPC) managing director Selest Kilinda and Kenya Ports Authority (KPA) managing director Gichiri Ndua.
Under OTS a company that submits the lowest bid imports either crude oil or refined petrol, diesel and kerosene on behalf of other marketers.
Mr Nyoike said unprogrammed private imports had been identified as primary causes of congestion at the port of Mombasa and attendant demurrage charges (penalties paid to tanker owners).
Sh2.8 million ($35,000) is the demurrage paid daily to a tanker owner when a ship ferrying fuel fails to discharge the cargo in Mombasa in good time due lack of storage space.
No private imports
Mr Nyoike said marketers had on September 20, 2010 been informed by the ministry that no private imports for transit markets shall be allowed through Kipevu Oil Storage Facility in Mombasa from individual marketers.
He said such cargo shall be aggregated for all the transit marketers and processed through the Ullage (storage space) Allocation Committee.
The PS reminded marketers through a letter on Monday that they have to participate in transit tender as there will be no more unscheduled imports.
He said the Free on Board (FOB) for October 2010 imports shall be based on the five days bill of lading.
From November 2010, all shall have FOB based on mean of the month as is the case with crude oil tenders.
A bill of lading is a document issued by a transporter acknowledging receipt of specified goods for conveyance (transport) to a named place, setting terms of contract besides providing for proper delivery.
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