KPC boss assures staff of job security ahead of planned privatisation

Radio Africa Group Chief Executive Officer Martin Khafafa receives a gift from Kenya Pipeline Company Managing Director Joe Sang during a courtesy visit at KPC headquarters in Nairobi on November 17, 2025/DOUGLAS OKIDDY

Radio Africa Group Chief Executive Officer Martin Khafafa receives a gift from Kenya Pipeline Company Managing Director Joe Sang during a courtesy visit at KPC headquarters in Nairobi on November 17, 2025/DOUGLAS OKIDDY

Kenya Pipeline Company managing director Joe Sang has moved to assure employees that their jobs are safe as the state corporation prepares for a historic Initial Public Offering slated for March 1, 2026.

Sang said the company is on a strong growth path and is expected to expand even further once it transitions from a fully state-owned enterprise to a publicly listed company.

Speaking in an exclusive interview with the Star at KPC headquarters in Nairobi, Sang dismissed fears that privatisation would trigger job losses, saying there is no government indication of staff retrenchment.

“Employees don’t need to worry,” he said.

“There are no indications right from government to do any redundancy or retrenchment. We actually see this company growing into a bigger company in the next couple of years. We also see it having the power to employ more people in the coming years.”

Radio Africa Group Digital Editor Francis Mureithi in an interview with the Kenya Pipeline Company Managing Director Joe Sang during a courtesy visit at KPC headquarters in Nairobi on November 17, 2025/DOUGLAS OKIDDY

Sang said the government’s plan to list KPC is meant to unlock greater operational agility and efficiency, and to position the company for faster regional growth.

IPO PROCESS

Sang said the Privatisation Commission has already issued notification letters to successful bidders who will handle the IPO process. He said KPC is now in the mandatory 14- day standstill period before formal contracts are signed.

“So far they have issued letters of notification of award. We are now in what you call the standstill period, which is the mandatory 14 days. That expires at the end of this week,” he said.

“Thereafter they will sign the contracts and issue letters of award.”

The IPO will be handled by a consortium that includes a lead transaction advisor, reporting accountants, lead brokerage firm, legal advisors, a public relations agency, an advertising firm and receiving banks.

Radio Africa Group Digital Editor Francis Mureithi with the Kenya Pipeline Company Managing Director Joe Sang during a courtesy visit at KPC headquarters in Nairobi on November 17, 2025/DOUGLAS OKIDDY

KPC’s listing date was recently published in local newspapers, with the commission proposing March 1, 2026 as the target. Sang said the team expects to complete key preparatory steps within four months.

He encouraged Kenyans to buy shares once the offer opens, saying the firm is financially strong and has consistently delivered growth.

“This is a very good company. All the fundamentals are strong in terms of business performance,” he said.

“We have been growing this business year in, year out. We have been diligently paying dividends to our shareholder, which is the National Treasury.”

KPC’s profit before tax has risen sharply over the last three financial cycles.

“When I came in, the profit before tax was at Sh6.1 billion. The year that followed, we grew it to Sh7.5 billion. The next year we grew it to Sh10 billion. The year that ended in June this year, we are now at Sh16.1 billion,” Sang said.

“We have grown from Sh6 billion to Sh16 billion using the same employees.”

REGIONAL EXPANSION

He said the firm is also proud of its clean audit status.

“Pre-2022, the audits were qualified. But in the last three years, we have had unqualified audits. It’s a testimony of every corner of the business delivering.”

Sang dismissed concerns that KPC’s regional operations could slow down after the firm goes public.

Instead, he said privatisation will accelerate expansion into markets such as Uganda, Tanzania, Rwanda and beyond.

“It will actually enhance,” he said. “There are so many things we want to do, but at times the speed of government is not the speed of private sector. Once your board sits and approves a budget, you can go to market the next day.”

Kenya Pipeline Company Managing Director Joe Sang during a courtesy visit at his KPC headquarters office by the Radio Africa Group leadership in Nairobi on November 17, 2025/DOUGLAS OKIDDY

Today, KPC requires approvals from multiple institutions including its board, the parent ministry and the National Treasury.

Sang believes the company’s entry into the private market will significantly reduce bureaucracy and enable faster decision-making.

“I see us moving a lot more quickly in terms of increasing our footprint outside Kenya than it is today,” he said.

KPC already serves the region through the Kenya-Uganda fuel corridor and partnerships with neighbouring states.

Market analysts have long noted that East Africa’s growing fuel demand, driven by industrialisation and infrastructure development, offers a solid growth outlook for the company.

MORENDAT INSTITUTE

Sang also highlighted the transformation of the Morendat Institute of Oil & Gas as one of the company’s biggest recent achievements.

The institution, which is based in Naivasha, was last year formally recognised as a national polytechnic, enabling it to offer accredited technical and vocational programmes.

“MIOG is a capacity building school for the region,” Sang said. “It was considered as a national polytechnic and therefore it offers accredited courses. We are moving away from being just a school.”

The institute focuses on specialised training in welding, fire safety and other petroleum-related skill areas.

KPC has also entered into partnerships with county governments to train students across the country and neighbouring states.

“We are now training students in Kenya and beyond Kenya,” he added.

Beyond oil and gas, the institute is expanding into hospitality training.

“On November 28, we are partnering with BOMA to offer hospitality courses,” he said.

“We want to be known to be a capacity building polytechnic offering the highest accredited courses in the region.”

The MD said the diversification of training reflects KPC’s broader goal of building a skilled, competitive workforce for the energy and hospitality sectors.

LOOKING AHEAD

Sang believes KPC is entering its strongest phase in decades, citing improved financial performance, clean audits, efficiency gains and a highly productive workforce.

He credits the transformation to a more innovative team that is “thinking outside the box” and pursuing new regional markets.

“We have a great team that is delivering. Every corner of the business is delivering,” he said.

With staff assured of job security and the IPO process firmly underway, Sang expects the company’s next chapter to be marked by even faster growth and expanded regional presence.

“KPC is a channel that can only grow,” he said. “The future is bright, and we are ready for it.”