Violence in Kenya Causing Regional Fuel Crisis

The post-election violence in Kenya is having devastating effects throughout East Africa as fuel shipments from Mombasa, the region's largest port, ground to a halt. 

Enter the Ugandan army.

Joseph Karoki writes that Ugandan troops have entered Nyanza Province in Western Kenya to help secure safe passage of oil trucks bound for Kampala:

Last night I recieved news that there were reports of Ugandan militia in or around Nyanza Province and Western Province. I waited utill I got confirmation from the ground. After several late night phone calls, I did confirm that Ugandan Forces were indeed within Kenyan borders. Just within the last hour Ugandan Army Spokesman, Major Felix Kulayigye, confirmed the deployment of the troops on Tuesday, saying “it is to forestall possible spill over of violence in Kenya”...

...So if we do have Ugandan militia in Nyanza province, many of you might ask why? Well, here is a simple answer. Uganda is a landlocked country that relies heavily on the political stability of Kenya for imports and exports through the Mombasa Port on the Indian Ocean and is dependent on the the safe passage of goods through Kenya.The political instability has had devastating effects on Uganda’s economy.  Uganda, fuel prices have risen from USh2,400 (Sh100) to USh5,000 (Sh225). Most oil importing companies have reported that they have not replenished their stocks after their reservoirs dried up. So there is motive as to why Uganda would get involved.

His Kenyan readers are not too happy.

The Monitor newspaper says Uganda was woefully unprepared:

[Energy Minister Daudi Migereko] had a hard time explaining to the media how the country could suffer crippling scarcities almost immediately after the Kenyan turmoil began, and why the nation's reserves could not even last days.

Both the Monitor and New Vision report price gouging and long lines at the few stations in Kampala that haven't run out of petrol.  The Ugandans are trying to redirect shipments through Dar-es-Salaam (Tanzania), but are facing major logistical problems, i.e., ships to carry fuel across Lake Victoria.  Moreover, because of the higher transport costs associated with that route, importing via Dar would not normalize prices.

Continuing west, government officials say Rwanda, which (surprise surprise) still has several days of reserves, may be facing its own crisis unless it can start importing fuel again.

I can't imagine what the situation must be like in Eastern Congo.

There's been a lot of coverage of Western pressure on Kibaki (well, minus the Americans of course, who found in him a staunch "War on Terror" ally).  But I imagine that today, it's Museveni and Kagame who are really giving him hell.

Comments

[josh]

Blogs, SMS and the Kenyan Election
http://blogs.law.harvard.edu/idblog/2008/01/03/blogs-sms-and-the-kenyan-election/

[Jennifer Brea]

Josh's url was truncated. See his post on Blogs, SMS and the Kenyan Election by clicking on that link.

[Jennifer Brea]

UPDATE: Uganda has suspended domestic flights.

[bankelele]

I am told that the (kenya) oil pipeline and storage tanks are full. oil companies have been scared of drawing oil and risking their trucks - but now uganda ones (with UG vechile registrations) have resumed.

also the east african newspaper weekly has a story today showing that the uganda governemnt had subscontracted some distribution to small companies without much capacity - so thats why they got bit so soon after the kenya fracas