President Ruto Hold Talks With Azerbaijan President Ilham Aliyev Amid Rising Fuel Prices and Global Oil Shock

By Bonface Mulyungi

President William Ruto has moved to strengthen the country’s energy security through fresh talks with the oil-producing nation Azerbaijan amid pressure on the government due to the latest fuel prices.

On Sunday, May 17, Ruto confirmed he held bilateral talks with Azerbaijani President Ilham Aliyev at the Baku Olympic Stadium on the sidelines of the World Urban Forum in Baku. 

Among the areas of discussion included cooperation in the oil and gas sector, as well as renewable energy. 

“Our discussions focused on fostering collaboration in the oil and gas sector, investments to scale up our affordable housing programme, and renewable energy partnerships to support our target of generating 10,000MW of power,” Ruto stated after the talks.

Discussions between Kenya and Azerbaijan come at the back of alarming fuel price hikes, which saw diesel prices in Nairobi surge to a record Ksh242.92 per litre while petrol rose above Ksh214. 

According to the Energy and Petroleum Regulatory Authority (EPRA), the soaring fuel prices are largely driven by disruptions in global oil supply chains following instability around the Strait of Hormuz and the wider Middle East conflict.

Notably, Kenya remains highly vulnerable to the adverse effects of geopolitical tensions and disruptions in major oil shipping routes because it imports all its refined petroleum products

Among the major highlights of the discussions between Ruto and the Azerbaijan Head of State was the proposed oil refinery project aimed at serving the East Africa region. At the time of publication of this article, Billionaire businessman Aliko Dangote largely favoured Kenya as the destination for the upcoming refinery because of the country’s economic muscle. 

Talks with Azerbaijan are crucial, particularly because the country is regarded as one of the world’s key regional energy powers with extensive expertise in oil production, refining and export infrastructure.

The oil-rich country sits on vast reserves in the Caspian Sea and has built a global reputation through its massive petroleum export network, supplying European and international markets.

Although smaller than traditional oil giants such as Saudi Arabia and Russia, Azerbaijan remains strategically influential in the global energy market because of its strong oil and gas production capacity and its role in diversifying global energy supply.