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PIEA continues to provide a forum for expertise and excellence in the oil industry, promote professionalism and free enterprise in the petroleum business supported by the highest operations and business standards.

The Institute is concerned about the alarming level of malpractices in the Liquefied Petroleum Gas (LPG) segment and recent misinformation attributed to various persons being published in sections of the media.

Consequently, the Petroleum Institute of East Africa would like to state as follows in the interest of consumer and public safety and security:

1. According to Legal Notice (LN) 121 of the Energy Act 2006, any person who wishes to engage in any aspect of the business must be licensed by the Energy Regulatory Commission (ERC). Any business operating without these licenses is therefore illegal.

2. PIEA is aware that the Kenyan LPG market is in the grip of illegal operators. These unscrupulous operators expose LPG consumers to great risk by stealing gas cylinders from their owners, filling them which is illegal and selling them off as their own. This illicit business is carried out in extremely high risk premises that do not meet basic safety requirements. The integrity of cylinders churned out of such premises is highly questionable.

3. Legitimate oil marketing companies who are listed in the ERC website cannot take responsibility in the event that their stolen cylinders, which are tampered with, filled illegally, illegally re-branded and sold off to innocent consumers cause loss of lives or damage to property.

4. PIEA would like to inform consumers that about 7 out of 10 LPG cylinders in the market are either illegally re-branded, filled illegally, have been tampered with or their contents do not meet stipulated requirements.

5. The Institute advises all LPG (gas) consumers to only purchase their cylinders from petrol stations and authorised dealers who should show their proof of authorisation. The most reliable method to establish credibility is by obtaining an Electronic Transaction Receipt (ETR) from the point of purchase.

6. PIEA would like to clarify that the only ‘battle’ that exists is between innocent LPG consumers, big legitimate, medium and small gas dealers on one side against illegal and unlicensed LPG dealers on the other. The Issues raised above are in the interest of public safety and fair, ethical business practices.

7. The public must be warned that LPG is a highly flammable product and if not carefully handled, can cause catastrophic loss of lives and irreparable damage. We urge Kenyans to move away from a “fire fighting” approach to tragedies and adopt preventive measures to disasters. The Petroleum Institute of East Africa is playing its rightful role in this regard.

BUY LPG FROM SERVICE STATIONS; IF YOU BUY FROM SUPERMARKETS OR ANY OTHER DISTRIBUTOR, ASK FOR PROOF OF AUTHORIZATION FROM THE COMPANY THAT OWNS THE BRAND; REMEMBER TO GET YOUR RECEIPT.

The Petroleum Institute of East Africa (PIEA) is the professional body for the oil and gas industry in the East African region.

Signed:
Mr Polycarp Igathe
Chairman, Petroleum Institute of East Africa