Uganda aviation news update – Shell rockets AVGAS price to USD 2.71


Shell has been accused by sections of the aviation fraternity of blatant exploitation, with the word ‘racketeering’ not being formally spoken but certainly floating between the lines, when their latest price for AVGAS rockets to US Dollars 2.71, compared to Nairobi’s Wilson Airport, where the commodity sells at US Dollars 1.90 only. Considering the transportation cost of about US Cents 25 per litre, this type of aviation fuel ought to sell in Kampala or Entebbe at 2.15 US Dollars or slight above that, but clearly market mechanism her have failed exposing Shell as the ruthless monopolist and corporate gorgon.

Aviation sources in Kajjansi claim that Shell has refused to discuss the price rise and were not willing to discuss their reasoning for the exorbitant charges, which prompted a 10 percent rise in charter flight cost for any flight out of Entebbe and Kajjansi.

It is understood that the airlines affected have plans to involve the Civil Aviation Authority, which has given Shell a concession to market fuels at Entebbe and the Kajjansi airfield but no card blanche to rip off the air operators and making flying literally unaffordable.

Shells’ African retail market exit has not yet been fully concluded and the general mood amongst those most affected is now ‘good riddance to bad rubbish’, while one particularly outspoken aviator revived the slogan ‘Shell is Hell’. Well, who am I to argue with this under such extraordinary circumstances.

Watch this space.

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