The Nordic Welfare Model:

Lesson Drawing for Kenya’s Petroleum Resources

Lyla Latif, Graduate Student

Monday, 9 February 15

Introduction

• Kenya has been exploring for oil since 1937.

• Discovery of oil was made in 2012.

• Need for an effective and socially responsible management of petroleum resources.

Monday, 9 February 15

Where Kenya looked for lesson drawing

Monday, 9 February 15

The Nordic Model

• National governance and control of petroleum resources

• Minimal dependence on other countries for crude oil by exploitation of petroleum deposits

• State involvement at all reasonable levels

• Separate policy, regulatory and commercial functions of the state in the petroleum sector

• State owned oil company to be established for only carrying out commercial activities

Monday, 9 February 15

Application of the Nordic Model in Other Countries

• Mozambique,

• Timor -Leste,

• Uganda,

• Ghana and South America (Bolivia, Ecuador and Nicaragua)

Monday, 9 February 15

Lessons Learnt• New Petroleum Law, repeal all other laws relating to

petroleum

• Adequate staffing, training and resources for capacity development,

• Strong political commitment to structure and functioning,

• CSOs to monitor government policies and strategies,

• Formulate an Oil Revenue Management Policy

• Create partnership with the Norwegians

Monday, 9 February 15

Applying the Lessons

Monday, 9 February 15

Monday, 9 February 15