The Kenya Pipeline Company was incorporated on 6th September 1973 under the companies act (Cap 486) and started commercial operations in 1978. The Company is a State Corporation under the Ministry of Energy with 100% government shareholding. The company operations are also governed by relevant legislations and regulations such as; the Finance Act, The Public Procurement Regulations, amongst others.

Kenya Pipeline Company operates a pipeline system for transportation of refined petroleum products from Mombasa to Nairobi and western Kenya towns of Nakuru, Kisumu and Eldoret.

In collaboration with the Government, KPC Facilitates the implementation of Government policies:

• Acts as a Government agent in specific projects as directed through the Ministry of Energy. To this end, the Company works with the Government in the implementation of key projects such as the extension of the Oil Pipeline to Uganda and the LPG import handling and storage facilities.
• Assists in the fight against fuel adulteration and dumping.
• Ensures efficient operation of petroleum sub-sector.
  

Unlike some State Corporations, KPC does not depend on government subsidies, but is a source of revenue to the Government in terms of dividends and taxes.

The overall objective of setting up the Company was to provide the economy with the most efficient, reliable, safe and least cost means of transporting petroleum products from Mombasa to the hinterland.

MANDATE

•To build a pipeline for the conveyance of petroleum or petroleum products from     Mombasa to Nairobi, for the account of the Company or for the account of others, and any other pipelines in East Africa as the Company may determine.

•To own, manage or operate such pipelines and any other pipelines (whether or not built by the Company) and all ancillary pumping, storage and other facilities and such other plant, equipment and installations, movable and immovable, as the Company may consider desirable and to manufacture, construct, maintain or modify any of the same.

•To market, process, treat and deal in petroleum products and other products and goods that may conveniently be dealt in by the Company and to provide transport and other distributive facilities, outlets and services in connection therewith.