Petroleum PS Seeks Sh2.5 Billion for School LPG Project
The State Department for Petroleum is seeking to spend Sh2.5 billion from the fuel anti-adulteration levy for the construction of gas facilities in at least 7,000 schools and public institutions, starting with between 300 and 500 this financial year.
Petroleum Principal Secretary Mohammed Liban told the National Assembly’s committee on energy that he has written to the Treasury to allow for the use of the levy for the construction of Liquified Petroleum Gas (LPG) in public schools, health facilities, prisons, and the National Youth Service (NYS).
The Treasury indicated that legislation would be required to access the funds, and he sought the committee’s intervention to redirect the money for LPG construction.
The law mandates that the anti-adulteration levy be paid on all illuminating kerosene imported into the country for home use.
Finance Act of 2018 introduced the anti-adulteration levy, which the importer must pay upon entering the country.
The levy protects motorists from rogue fuel dealers who adulterate diesel with kerosene, taking advantage of the kerosene’s exemption from the road maintenance levy, which charges Sh18 per liter for petrol and diesel.
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Under the direction of Mwala MP Vincent Musyoka, Mr. Liban informed the committee that the Ministry has already identified 7,000 public schools that are interested in installing LPG facilities. Nearly 70 percent of these schools currently use firewood for cooking.
The strategy is to begin with public schools, then move to public institutions, hospitals, prisons, and NYS. The Ministry plans to construct LPG facilities in 300 to 500 schools annually within the budgetary allocation for the financial year 2024–25.
Mr. Liban noted that the Ministry had already started piloting the project in schools and was looking for a partner to help achieve the goal of connecting all public institutions to LPG.
He announced the formation of three sub-committees to safeguard the safety and security of the gas facility project.
The technical committee he chairs includes officials from the Ministry of Education, the Energy and Petroleum Regulatory Authority, the National Environment and Management Authority (NEMA), and the Kenya Bureau of Standards.
NEMA is conducting an environmental impact assessment to ensure the safety of the LPG facilities.
Mr. Liban emphasized that LPG would be a safer alternative to materials like mattresses that students burn during riots, with a parameter fence to prevent unauthorized access.
Additionally, there would be education and sensitization programs for students and school management on safety and security issues.
In the 2023–24 budget estimates, the Energy Committee recommended channeling the proceeds of the anti-adulteration levy towards constructing LPG facilities in public institutions, and directed the Treasury to present the status of implementing the House resolution.
President William Ruto directed all public schools and public institutions to switch from firewood and other fuels to LPG by 2025.
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Mr. Liban stated that the three-year plan would also include regulating cooking gas prices to stabilize the market and reduce the use of dirtier fuels that harm the environment and increase the disease burden.
The State Department for Petroleum indicated that budgetary constraints had hindered the plan’s progress as envisaged.
Petroleum PS Seeks Sh2.5 Billion for School LPG Project
