Dangote Lamu Refinery Won't Shield Kenya from Global Oil Shocks

The Dangote East Africa Petroleum Refinery in Lamu, Kenya, is touted as a solution to the country's dependence on imported petroleum products. However, experts warn that it will not provide an immediate answer to fuel pressures and its ability to shield consumers from global oil shocks depends heavily on various factors.

Construction of the 700,000-barrel-per-day refinery began on September 30, 2026, with completion targeted for 2030. The facility is designed to produce petrol, diesel, and jet fuel for Kenya and other regional markets. Despite this, Kenya will remain dependent on imported refined petroleum products for several more years.

The Energy and Petroleum Regulatory Authority's (EPRA) latest price schedule puts a litre of petrol at Ksh214.03 in Nairobi and Ksh210.87 in Mombasa. Diesel is Ksh217.86 in Nairobi and Ksh214.58 in Mombasa. The Lamu refinery cannot change these prices today because it is not yet producing fuel.