Fuel prices have been skyrocketing and causing frustrations among members of the public. Legislators raised concerns and tasked the government to explain what is causing the rise in fuel pump prices in the country. But Energy minister Irene Muloni’s efforts to explain the situation were met with unexpected condemnation from legislators.
A statement explaining the high fuel prices in the country divided Parliament Tuesday, with legislators rejecting an explanation by government.
Energy and Mineral Development minister Irene Muloni’s statement followed a concern raised on January 31 by Muhammad Nsereko, the Kampala Central MP, who demanded an explanation from government over the recent escalation of diesel and petrol pump prices in the country.
Hon. Julius Ochen: When it comes to a matter that affects our citizens, let us separate it from politics. We don't have any fuel in the reserves. #PlenaryUg
— Parliament of Uganda (@Parliament_Ug) February 6, 2018
The minister was quick to remind MPs that Uganda is a net importer of petroleum products in a liberalized downstream petroleum market and the prices in Uganda are purely determined by the forces of demand and supply, with Government having no say on the decision taken by the players.
Hon. Odonga Otto: I would like to inform you that there is no single litre of fuel in our National Oil reserves. #PlenaryUg pic.twitter.com/TjjYShaxn2
— Parliament of Uganda (@Parliament_Ug) February 6, 2018
Allan Chekwech Steps into Daniel Kalinaki's Big Shoes at NMG UgandaMuloni also blamed the latest price increase on the country’s consumption of petroleum products, which she said had continued to grow at 170% per year with the country consuming an average of 2.7 million litres for each product of petrol and diesel.
The government says 91% of petroleum products is imported through Mombasa port while 9% goes through Dares Salaam port.
Government attempted to allay fears of Ugandans, saying the country is well supplied by fuel saying all the strategies in place hinge on the effectiveness of the import routes and the in-country storage facilities.
Hon. Muhammad Nsereko: Who will Ugandans trust in times of scarcity of they cannot trust this government? You promised that prices of sugar would go down but that was temporary. The high prices of fuel affect other commodity costs. #PlenaryUg pic.twitter.com/Dww7qhg6PB
— Parliament of Uganda (@Parliament_Ug) February 6, 2018
“In this case, Mombasa and Dar es Salaam ports together with other terminals in Kenya are all being utilised by Oil Marketing Companies (OMCs)to import products into Uganda,
