Energy Minister Kiraitu Murungi plans to invoke the powers vested on him by the Energy Regulation Act to regulate fuel pump prices.

Kiraitu says his Ministry is closely monitoring international crude oil markets and will not hesitate to implement retail price controls if key petroleum players continue increasing prices unfairly.

The Minister made the remarks in Mombasa after touring Kenya Pipeline Corporation's future stations at Konza, Manyani, Samburu and Makindu.

He said the Mombasa - Nairobi oil pipeline could only deliver 440,000 liters of fuel per hour against demands for 600,000 liters per hour.

Kiraitu announced the installation of four additional pump stations at Maungu, Mtito Andei and Sultan Hamud at a total cost of seven billion shillings.

KPC Managing Director George Okungu said upon completion in March next year, the new stations will double the product flow to 880,000 litres per hour.

The oil industry was deregulated in October 1994, a move through which the National Oil Corporation of Kenya lost its mandate to import and regulate thirty percent of the country's crude oil supplies.