Vivo Energy Uganda, the company that distributes and markets Shell-branded fuels and lubricants in Uganda, has become the first oil marketer in the country to import Low Sulphur Fuel Diesel (LSFD) with 50 parts per million (ppm) sulphur content.
On December 6, 2013 the East African Community amended the requirement for sulphur content in diesel from 500PPM to 50PPM effective January 1, 2015. Vivo Energy Kenya, part of the Vivo Energy Group won the delivery of the first cargo of LSFD through the Open Tender System (OTS). The first batch will arrive in Uganda the week of February 2, 2015.
Vivo Energy Uganda Managing Director Hans Paulsen said the reduction of sulphur content will help to protect our environment. “It is our duty to ensure we are doing business in a manner that protects and preserves our environment, not only for the current but also for the future generations. As oil marketers we need to be responsible as we go about our business reducing harm to people and the environment at all points of our interaction with them. Complying with the sulphur content reduction in diesel, as per the legal notice, highlights that fact that we are being responsible to the environment and to citizens in the communities where we operate.”
“For motorists who use diesel their maintenance costs will be lowered because they will not need to change their diesel particulate filters (DPF) as often as they currently do. Having won the first cargo that will mark the start of using LSFD in Uganda and Kenya this is a proud step.” added Hans Paulsen.
Mr. John Friday, Assistant Commissioner Petroleum Supply, Ministry of Energy and Mineral Development said “As a government we are pleased with this step in the right direction. We constantly seek to ensure that the general public receive petroleum products of the right standards, to promote product quality, industrial safety, environmental protection and code of practice in petroleum supply operations. The initiative is in line with the East African Community agreement to reduce sulphur content in diesel by 2015. As an industry we are proud of this achievement.”
All East African Community countries will, from this year, market diesel with a maximum sulphur content of 50 ppm, and 150ppm for petrol. The benzene content has also been revised to a maximum of 3 percent as per the harmonised EAC standards. The industry has provided leadership in lobbying for the development and implementation of these standards and has demonstrated its commitment to these to protect health and the environment.
EAC countries signed up to the 2008 EA Regional Framework Agreement on Air Pollution where governments committed to enact regulations to reduce sulphur in imported AGO from 5000 to 500ppm by 2010. The collaboration between industry, government ministries and regulatory agencies as well as the assistance of non-governmental agencies in the EAC made it possible to finally achieve the approval to develop and adopt regional harmonised low sulphur standards for petroleum products.
A study conducted by the World Bank shows that a switch to low-sulphur diesel plus the use of cleaner vehicles would result in annual savings in health costs of about $6 billion in Sub-Saharan Africa. This move was supported by United Nations Environment Programme and the Partnership for Clean Fuels and Vehicles as part of the global initiative to adopt cleaner vehicle standards.