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  • 11 hours ago
For it's energy needs, Kenya depends on imported fuels. As gas prices surge, many households are forced to choose between health and affordability. The exploration of Kenya's own offshore resources may be the answer.
Transcript
00:01Christine Mudeo cooks with kerosene, but not because she wants to.
00:05When heated, kerosene emits toxic fumes and Christine knows this.
00:09The empty gas cylinder in her kitchen tells a story of better days.
00:13Right now, kerosene is what she can afford.
00:17At the end of the day, it costs me about €1.30 for kerosene
00:20and I can only afford to buy small quantities worth 30 cents
00:24because I usually don't have the money.
00:26When conflict flared in the Middle East,
00:28global fuel prices surged, including kerosene.
00:31In March, the Kenyan government stepped in,
00:34absorbing the cost before it reached the pump.
00:37Prices have steadied since the ceasefire in Iran was announced,
00:40but the crisis has exposed a bigger structural problem in the country.
00:45Kenya imports every drop of fuel it uses.
00:49The country has no strategic oil reserves,
00:51only a 21-day stock required by industry regulators.
00:55And that leaves a country exposed to price
00:57and supply shocks every time a shipping route is closed.
01:02This vulnerability runs deeper.
01:04All of the oil used in Kenya comes from the Middle East
01:07under long-term agreements with Gulf suppliers.
01:11Energy expert Ogutu Okudo says that single-source dependency is the core issue.
01:16If you're trying to go to destination A, it's important to have two different routes that go there.
01:21What has happened in the geopolitics in the Middle East has changed everything for a very long time.
01:26I don't see things going back to the norm.
01:28And that means we're going to have to pivot and we're going to have to look at the next best
01:33option.
01:34Kenya's own offshore resources may hold part of the answer.
01:38The country launched oil exploration years ago but halted it before meaningful investment took hold.
01:44Okudo says that while the geology is promising, exploration needs funding.
01:49To make an investment attractive, you need to invest in that investment.
01:54If you decided to go and sell a piece of land outside there right now,
01:58you would get more if you decided to fence the land, if you did a study on its soil, if
02:04you built a road.
02:05And that equivalent in Kenya is we need to invest in more seismic studies.
02:11Okudos are long-term solutions while Christine Mudeu is living in the short term,
02:16waiting to see whether the next disruption will be one she can survive.
02:20We have children and we have to cook for them.
02:22That means even if the costs go up, we will just continue to make pleas for it to be lowered.
02:27But we still have to buy it.
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