The Privatization Commission has officially announced the proposed privatization of the Kenya Pipeline Company (KPC) Limited, marking a major step in the implementation of Kenya’s Privatization Programme.
The notice, published on Thursday, follows the Cabinet’s approval of the privatization method and the National Assembly’s endorsement of the plan on October 1, 2025. The transaction is expected to close by March 31, 2026.
According to a statement signed by Privatization Commission Chairman Faisal Abass, the notice was issued in accordance with Section 30 of the Privatization Act, 2005, which mandates formal notification of approved transactions.
“Following the approval of the Privatization Method for KPC by the Cabinet and the National Assembly, the Commission hereby gives notice of the approved transaction,” read part of the statement.
The Commission stated that the privatization presents a strategic opportunity to unlock KPC’s potential while generating funds to support the government’s 2025/2026 budget and national development goals.
Furthermore, the move seeks to empower ordinary Kenyans by enabling public ownership of one of the country’s most profitable and strategic enterprises through an Initial Public Offer (IPO) on the Nairobi Securities Exchange (NSE).
Other goals include promoting inclusive economic growth, strengthening corporate governance, enhancing operational efficiency, and deepening capital markets.
Incorporated in 1973 and operational since 1978, KPC’s core business involves the safe and efficient transport of petroleum products, including premium motor spirit, diesel, kerosene, and jet fuel, to both domestic and regional markets such as Uganda, Rwanda, South Sudan, and Tanzania.
Currently, KPC is wholly owned by the Government of Kenya, with 99.9% of shares held by the National Treasury and 0.1% by the Ministry of Energy and Petroleum.
Chairman Abass emphasized that the decision reflects the government’s commitment to efficiency, transparency, and public participation, saying:
“The privatization of KPC balances economic empowerment, national interest, and institutional modernization for the benefit of the public and the economy.”
