(JUBA) – South Sudan’s Court of Appeal has halted a government fuel supply agreement with Kenya, suspending an exclusive import deal that had granted Pacific Petroleum Company Limited sole rights to bring petroleum products into the country.
The injunction follows a public interest petition filed by Advocates Without Borders, which challenged the arrangement as an unlawful monopoly that breaks fair competition laws.
Speaking to Eye Radio, Advocate Ayei Peter Nyuol said the agreement gives Pacific Petroleum exclusive control over fuel imports, supply and marketing across South Sudan. He argued the deal was awarded through a single source process without competition or public scrutiny.
Documents seen by media show that in November 2025, South Sudan’s Ministry of Petroleum told Kenyan authorities that petroleum products destined for South Sudan would be imported under a government to government framework through Pacific Petroleum.
The arrangement was later strengthened through official letters exchanged between the petroleum ministries of South Sudan and Kenya.
In a letter dated 4 June 2026, Pacific Petroleum said it had imported several fuel cargoes under the framework. The company said cargo RSS001 had already been discharged and transported to South Sudan, while RSS002 remained at the GAPCO terminal waiting for evacuation. A third shipment, RSS003, arrived at the Port of Mombasa on 28 May and was waiting for berthing.
Pacific Petroleum also accused some oil marketing companies of exporting fuel to South Sudan outside the approved framework. It claimed that some cargo documents had been altered to allow such exports. Eye Radio could not independently check these claims.
The company said the government to government arrangement was meant to guarantee security of supply, openness and efficiency in the fuel sector.
Following the complaints, Kenya’s Ministry of Energy and Petroleum asked the Kenya Revenue Authority to tighten enforcement of the framework. The tax authority then directed its operational units to increase checks on petroleum export declarations and cargo documents destined for South Sudan. It warned that unauthorised exports outside the arrangement would face enforcement action.
Advocates Without Borders argues the exclusive arrangement has cut competition, limited choice for buyers and pushed fuel prices higher by forcing petroleum dealers to rely on a single supplier. The group also says many fuel companies risk closure because they can no longer import fuel directly.
The court order stops the agreement from being put into effect while the case is being decided. The matter will proceed after the Ministry of Petroleum and other respondents are formally served and file their replies.
Nyuol said the court will now rule on whether the arrangement is lawful. He added that a decision in favour of the petition could restore competition in South Sudan’s fuel sector and help bring down fuel prices at the pump.
Efforts to get comment from South Sudan’s Ministry of Petroleum and Pacific Petroleum Limited were not immediately successful.