Ministry of Energy and Petroleum has warned about 98 oil marketing companies for failing to comply with the law, Petroleum PS Andrew Kamau has said.
Illegal cooking gas dealers have also been put on notice as it signaled an intensified battle to curb the rising illicit trade.
Kamau said a special police unit has been seconded to the Energy Regulatory Commission, the industry regulator, to help crack down on rogue Liquefied Petroleum Gas dealers.
“The Customs (Kenya Revenue Authority) will communicate to LPG dealers by the end of this month on the closure of imports through Tanzania,” Kamau said during a Kenya Pipeline Company forum in Nairobi as quoted by the Star.
This comes after Cheaper LPG from Zambia was reported to have been finding its way into the country through Tanzania, with most of it ending in illegal refueling plants.
Energy CS Charles Keter has designated Mombasa as the only point of entry for LPG, a move aimed at locking out traders from importing cooking gas through Tanzania.
The PS said the Petroleum Bill, currently before the Senate, will also instill stiffer penalties once it becomes law.
“Right now, the penalties are between Sh30,000 and Sh40,000 which anybody can pay. When we go to the new bill, the penalties are between Sh3 and Sh4 million with jail a term,” Kamau said.
The government has also put on notice 87 oil marketers which are allegedly operating without valid licenses.