NAIROBI, Kenya, Jan 20 – Kenya Pipeline Company (KPC) plans to reduce its dependence on petroleum-related business from 95 per cent to 81 per cent by 2030 as it moves to diversify revenue, even as demand for fuel products across the region remains strong.
According to KPC’s 2025–2030 strategic outlook, the shift will be driven by investments in non-petroleum businesses, including fibre optic connectivity and liquefied petroleum gas (LPG) infrastructure.
The company plans to develop an LPG bulk import handling and storage facility in Mombasa, while also scaling up its fibre optic cable (FOC) business through connectivity to submarine cables, satellite links, and bulk transportation of data and digital content.
KPC is also exploring additional income streams such as the transportation of natural gas to regional markets, including Tanzania and other East African countries.
Despite the diversification push, demand for petroleum products in the region remains robust. During the 2024/25 financial year, total demand reached 13 million cubic metres, with transit markets accounting for 7.5 million cubic metres. Key transit markets include Uganda, South Sudan, Rwanda, eastern Democratic Republic of Congo, and Burundi.
KPC projects domestic petroleum demand will rise from 5.8 million cubic metres in FY2024/25 to 6.6 million cubic metres by FY2029/30. Transit volumes through the Port of Mombasa are also expected to increase from 4.1 million cubic metres to 5.0 million cubic metres over the same period.
“All domestic products and 65 per cent of KPC’s current transit market imports are received through the Port of Mombasa,” the company said.
Uganda remains the largest transit market on the Northern Corridor, accounting for 65 per cent of transit demand as at FY2023/24, followed by eastern DR Congo at 19 per cent, South Sudan at 15 per cent and Rwanda at one per cent.
