Energy and Petroleum Cabinet Secretary Opiyo Wandayi has moved to allay fears of mass job losses following the government’s controversial decision to privatise the Kenya Pipeline Company (KPC).
Appearing before the National Assembly’s Energy Committee on Tuesday, August 12, Wandayi assured legislators that employee welfare would remain safeguarded under existing labour and corporate governance frameworks.
“We do not foresee any job losses or any restructuring to the current job structures at KPC,” Wandayi stated firmly, in response to mounting speculation.
His remarks came after Gem MP Elisha Odhiambo raised concerns about the anxiety gripping KPC employees. According to Odhiambo, many workers fear the privatisation could trigger restructuring, yet they remain reluctant to speak out for fear of victimisation.
The government, through the National Treasury, plans to retain a 35 per cent stake in the company while offering the remaining 65 per cent to the public via the Nairobi Securities Exchange (NSE). While proponents argue the move will inject private-sector efficiency, lawmakers have questioned the decision to sell a controlling stake in what they term a “critical national asset.”
Committee members expressed frustration at the opacity of the process, particularly the absence of a publicly available valuation report. They insist that before any shares are floated, a comprehensive, transparent valuation of KPC and its assets must be disclosed to ascertain the company’s true market worth.
The privatisation decision, approved by the Cabinet just a week earlier, is part of a broader strategy to open the company to private capital and expertise. While KPC plays a central role in Kenya’s fuel transportation and supply, the government maintains that bureaucratic bottlenecks have stifled its growth and market value.
