KPC, KRA integrate customs systems to speed up fuel supply chain

KPC, KRA integrate customs systems to speed up fuel supply chain

NAIROBI, Kenya, April 30 – The Kenya Pipeline Company (KPC) and the Kenya Revenue Authority (KRA) have integrated their digital systems in a move aimed at improving efficiency in the country’s fuel logistics and customs clearance processes.

The integration of KPC’s SAP and KRA’s Integrated Customs Management System (iCMS), which went live on April 6, 2025, is expected to reduce truck turnaround times at depots by up to 50 percent, according to Energy and Petroleum Cabinet Secretary J. Opiyo Wandayi.

Speaking at a forum attended by oil marketing executives and industry stakeholders, the CS said the move will enhance transparency and predictability in the fuel supply chain.

KRA Commissioner for Customs and Border Control, Dr. Lilian Nyawanda, said the system will automate tax payment and cargo clearance processes, reducing the cost of doing business.

As part of the rollout, KRA has also launched Smart Gates to improve throughput at KPC depots.

The tax authority has pledged to align its working hours with KPC’s to support extended loading operations.

Oil Marketing Companies causing overnight truck delays may now face penalties as per the Transportation Service Agreement.

KPC Managing Director Joe Sang confirmed the completion of a major infrastructure upgrade linking the Port Reitz tank farm to Kipevu Oil Terminal 2, Nairobi-Mombasa pipeline (Line 5), and PS 14.

The project included rehabilitating five tanks for diesel storage and integrating the facility into KPC’s SAP system.

“With the addition of 100 million litres in storage capacity, we expect to reduce costly demurrage charges and improve vessel turnaround times,” said Sang.

Petroleum Institute of East Africa (PIEA) Chairperson Peter Murungi welcomed the collaboration, noting that KPC’s investment in capacity expansion is essential to ensuring stable fuel supply across the country.