POST Online Media Lite Edition



 

Kenya Pipeline to spend millions over oil leak detection blunder

Christian Fernsby |
A costly blunder during the construction of a Sh48 billion pipeline from Mombasa to Nairobi is set to bleed Kenya Pipeline Company more money after an oil spill occurred in Makueni barely a year into its operation.

Article continues below




The 20-inch pipeline was designed without any leak detection systems, making it as bad as the leak-prone old one that was meant to be replaced in the new venture after frequent leakages caused massive losses of product eventually passed down to the taxpayer in pump prices.

Kenya Pipeline Corporation acting managing director Hudson Andambi termed the oversight “unfortunate” as the corporation now plans another tender to finance the installation of leak detection apparatus in the line.

“Leak detection was not included in the design stage, which is very unfortunate given that it was our second time constructing a pipeline.

That was an unnecessary and costly omission but we have budgeted for it in the next financial year.

For now, I can’t tell you how much it will cost because it will be an open tender,” Mr Andambi said.

Mr Andambi sought to downplay any adverse effects of the spill, whose real extent is yet to be determined, saying a team had been dispatched to dig trenches and control the damage which, according to him, was far away from the water spring that is the main source of water for the area.

Although the extent of the Makueni diesel spill is yet to be determined, the Water Resources Management Authority has already cautioned residents of the affected area against drinking water from the Kiboko River after it was found to be contaminated with petroleum products.

This may mean more costs to KPC, which has already contracted Swedish firm SGS to examine the extent of the spill.

With the effect on drinking water an in an area known to have a low water table, the cost burden for KPC is set to go beyond the new leak detection system tender.

The system ought to have been well envisioned in the plan to build the new pipeline since it was due to the frequent leakages of the old pipeline, commonly referred to as Line 1, that the new line, called Line 5, was built in the first place.

One such leakage, which occurred three years ago in Thange River, in the same county, bled the firm close to Sh300 million in clean-up and compensation costs alone as at last year.

The burden is still on, with area residents getting water and sometimes food supplies from KPC.


What to read next

Europe clears acquisition of Morpho Detection by Smiths, subject to conditions
Enbridge and Spectra Energy settles FTC merger charges
Morpho’s explosive trace detection must be sold before Smiths acquisition

U.S.: Snow continues for West and Northern Plains, gusty winds and fire weather for Central and Southern Plains

 
Warm, dry and windy conditions, caused by the emergence of a strong cold front from the Rockies will contribute to a critical fire weather threat for parts of southeastern Colorado and southwestern Kansas this afternoon.
 
 

Latest

List of all locationa for New York's holiday toy, coat and school supply drive announced
New York: $28m to help students prepare for college
Norway and Germany ask NATO to protect underwater gas pipelines
U.S. oil rig count unchanged at 627

NEWS

Norwegian safety authority investiagates very serious marine casualty south of Cape Horn

Chilean truckers have called off strike
5.4 magnitude earthquake hits north New Zealand
UN appeals for record $51.5 billion to help 230 million
U.S.: Winter storm impacting west
AG James and NY Drug Enforcement Task Force take down ghost gun trafficking ring
 

BUSINESS

IATA calls on Denmark and Iceland to revoke planned ATC rate hikes

Trade in electric cars in EU steadily increasing
Vessels carrying Ukrainian food exports to Indonesia, Algeria, Egypt, Israel, China, Spain, Greece
10 days of paid sick leave now in force for federally regulated workers across Canada
Connecticut AG joins coalition supporting suspension of rule authorizing unsafe liquefied natural gas trains
Air cargo rates continue to decline in November
 

Trending Now

U.S.: Snow continues for West and Northern Plains, gusty winds and fire weather for Central and Southern Plains

List of all locationa for New York's holiday toy, coat and school supply drive announced

New York: $28m to help students prepare for college

Norway and Germany ask NATO to protect underwater gas pipelines


POLITICS

Ukraine allots extra funds to compensate cost of grain for Ethiopia, Somalia

Prime Minister: Estonia experiencing shortage of electricity, power outages possible
More than £70 million to turbocharge the future of clean transport
Canada approves Marathon Palladium Project
Italy approves decree to place Lukoil refinery under trusteeship
Commission approves €600 million Slovak scheme to support companies
 

Today We Recommend

UN appeals for record $51.5 billion to help 230 million


Highlights 

Global food prices overall hold steady in November

Essar plans $4.9 bln petrochemical complex in Odisha

Technomics to expand in Virginia, creating 150 new jobs


COMPANIES

Carrefour developing its same-day delivery services in the Ile-de-France region, hiring

Aker BP approves $19 bln oil, gas investment plan
Orlen rebrands Lukoil fuel stations, to buy gas stations in Hungary and Slovakia
EDF submits bid to build new unit at Czech nuclear power plant
Uniper seeks multibillion-euro compensation from Gazprom
ASSA ABLOY sells Emtek and Smart Residential business in U.S. and Canada
 

CAREERS

Totally appoints John McMullan as medical director

Derby Building Products promotes Michael Morris to SVP
Former UK CMA CEO Andrea Coscelli to join Keystone
US Foods appoints Dave Flitman as CEO
G Mining Ventures appoints Carlos Vilhena to board
Criterium Energy appoints David Dunlop as director
 

ECONOMY

Cyprus' GDP growth estimated at 5.4 pct in Q3

UK house prices tumbled 1.4% in November
France's GDP growth slows to 0.2 pct in Q3
Companies in Germany looking to hire more staff
U.S. pending home sales fall 4.6% in October
Manufacturing output prices almost 21 percent up in Netherlands in October
 

EARNINGS

Big Lots Q3 loss $4.33 million

Kroger Q3 profit decreases
Dollar General Q3 income advances
G-III Apparel Q3 net sales ncreased 6.2%
National Bank of Montreal Q4 net income $738 million
Salesforce Q3 revenue $7.84 billion
 

OP-ED

Micromanaging is the worst enemy of efficiency and teamwork

Niger set to monetize massive gas reserves through Saharan natural gas pipeline
Putting the brakes on EV folly that choked the market
Oil discovery in Kavango Basin may mean huge benefits for Namibians
Cape Town and Dubai battle over Africa's energy future
Is America going to lose its superpower status?
 

AGRIFISH

Dutch cattle herd size barely changed in 2022

Global food prices overall hold steady in November
Peru slaughters more than 37,000 poultry after bird flu outbreak
Russia plans to extend ban on rice exports for first half of 2023
Hong Kong: Black-faced spoonbill carcass tests positive for H5N1 virus
Equine infectious anemia found in North Carolina horses
 

LEADERSHIP

Corporate duty waivers limit organic company growth and innovation

Women buy from women, men buy from women and men
How employee opinion impacts CEO dismissal
Keeping it in family can be good news when it comes to CEOs
Over a third of office workers are hybrid 'misfits'
Proxy advisers have inherent incentive to create controversy, study shows
 

CRIME

Switzerland fines ABB $4.3 mn over South Africa bribery

New Mexico AG announces $58.5 million opioid settlement with Smith’s Food and drug parent Kroger
Florida AG announces multistate action against CarMax over the disclosure of safety recalls
Baltimore, Md. announces approval of $537 million class action settlement with Monsanto for PCB contamination
Illinois AG announces $9.4 million settlement with Google and iHeartMedia over misleading ads for PIXEL 4 phone
Illinois announces $6.6 billion settlement with opioid makers Teva and Allergan
 

Magazine

TRAVEL

"Pets with Love" Dog Adoption Carnival 2022 to be held in Hong Kong

Weather-resistant ArtWalk Downtown Billings, Montana
Dual branded Courtyard and Residence Inn by Marriott Hotel opens in Montreal
Candlewood Suites Hotel opens in Aberdeen, Md.
Mount Roraima, Venezuela, 7,671 feet above the forest floor
Llao Llao Resort, an exclusive resort in the middle of nowhere
 

SEA, LAND, AIR

Lamborghini Huracán Sterrato, first super sports car for any terrain

New colorful Porsche 718 Style Edition models
2023 Toyota Prius Prime, solar panel roof and reliability
Volvo EX90, a car with updates
Cessna Citation CJ4 Gen2 jet, pursue your business goals while enjoying journey
GMC first Sierra EV marks turning point
 

DESIGN

Patchwork carpets, vintage Persian carpets made with unparalleled skill

Real life wallpapers, perfectly executed
A. Lange & Söhne, men's watches with true Saxonian DNA
Nella Vetrina, luxurious Italian designers bathroom vanities and furniture
Karastan rugs, durable and beautiful
Leather bags for every occasion and every life style
 

GADGETS

ASUS launches ExpertBook B9 for executives

Take Elektor Fortissimo and make your own high-end amplifier
RangeXTD, a Wi-Fi extender that actually works
Monitor II A.N.C. headphones, iconic Marshall sound
Zebra TC15, a clever mix of a mobile phone and a computer for business use
Bathroom speakers will make your relaxing even better
 

HEALTH

Nearly 200 sick in EU and UK Salmonella outbreak

FDA bans Eli Lilly, Regeneron antibody use in COVID-19 patients infected by omicron
'Breakthrough' Alzheimer's cure has serious side effects
WHO updates emergency use listing for Novavax Nuvaxovid COVID-19 vaccine
Strong recommendation for pyronaridine-artesunate in revised WHO Malaria Treatment Guidelines
Pakistan launches anti-polio vaccination drive to inoculate 13.5 mln children
 

MEANTIME

Lagoon dries up as drought grips Peru

Mysteriously bright flash is black hole jet pointing straight toward Earth
Researchers discover Egypt's oldest tomb oriented to winter solstice
China's latest manned space mission blasts off
Astrophysicists hunt for second-closest supermassive black hole
New European supercomputer inaugurated in Italy