President William Ruto during the official opening of the Africa Forward Summit in Nairobi on May 12 /PCSPresident William Ruto has yet again defended Tanzania’s Port of Tanga as the preferred location for the proposed East African oil refinery project, while maintaining that the final decision will rest with investors led by Nigerian billionaire Aliko Dangote.
According to Ruto, Tanga appeared to be the most suitable option because the region’s crude oil pipeline project had initially been designed to terminate there.
“Because the crude pipeline was going to Tanga, we thought that is the best location. But we will not dictate to Aliko Dangote and the investors,” Ruto said.
During his address to Tanzanian parliament last week, Ruto was forced to explain about his proposal for Tanga refinery.
This was after President Samia Suluhu raised concerns directly with Ruto during a press conference, questioning the basis of the public statement on the project.
“When we were having a conversation, I asked Ruto why he announced a refinery in Tanga without my knowledge, he will say why he announced it,” she said as she invited him to respond.
Ruto clarified that Tanga’s proximity to Mombasa, about 190km away, presents logistical advantages that could support integration of fuel infrastructure and efficient distribution of refined products across the region.
“I have been informed that my decision to announce the building of a refinery in Tanga has not sit well with you (Tanzanians). If I knew, I would have announced that refinery to be built in Mombasa,” he said.
Speaking during the Africa Forward Summit in Nairobi on Monday, May 11, Ruto said the proposed refinery, expected to cost between $16 billion and $20 billion, is a joint initiative involving Kenya, Uganda and Tanzania aimed at boosting regional energy security and industrialisation.
He noted that East African countries want to reduce dependence on imported petroleum products and avoid disruptions caused by international conflicts and global shipping routes.
“We do not want to be held hostage anymore by the Strait of Hormuz. We do not want to be held hostage by wars that are started by other people,” he said.
Ruto added that the region intends to harness its own natural resources to drive industrial growth and economic transformation.
“We have our own resources here, and we are saying we are going to use our African resources to industrialise our region,” he said.
The President said Dangote had been asked to conduct feasibility studies to identify the most commercially viable site for the refinery, with the Port of Mombasa and the Port of Lamu also under consideration.
Ruto further revealed that East African governments plan to invest directly in the refinery project alongside private investors in order to reduce risk and ensure public benefit from the venture.
“But I want to also tell Aliko and all the other guys, you are not going to invest alone. Governments are also going to invest so that when you make the money, we also make the money,” he said.
Ruto said Kenya would use resources from the National Infrastructure Fund to support the project and make it financially viable.
The refinery proposal is part of a broader push by East African governments to expand infrastructure development through public-private partnerships and attract large-scale industrial investments across the region.
