Fuel prices to rise by Sh 6 per litre or more from next week -EPRA


Fuel pump prices to increase by 2 April 2021

Kenyans should expect higher fuel prices from next, Mining and Petroleum CS John Munyes has said.

According to him, nothing can the ministry do to avert the situation. The prices will be expected to rise by Sh 6 per litre of fuel.

“Kenya charges the highest taxes on fuel regionally. Taxes and levies are the biggest contributors to the prices. As global oil prices increase we expect the prices in Kenya to increase,” he told the Senate Energy Committee on Wednesday.

Narok Senator Ledama Ole Kina, a member of the committee, however, criticised the Senate for the high taxes.

“As a Senate, we have failed to regulate the taxes being charged, the Kenyan population cannot be charged with this,” he said.

However, CS Munyes replied saying the ministry and the Energy and Petroleum Regulatory Authority (EPRA) are however working on draft regulations to operationalise the Petroleum Consolidated Fund as provided for in the Petroleum Act to provide for a stable price regime.

National Oil will be charged with the duty of storing fuel which the government will buy in bulk when prices are low.

As of March 2021, taxes and levies were the biggest contributors to the pump prices of super petrol and the second greatest contributor to the price of Diesel and Kerosene.

Excise Duty Tax, Road Maintenance Levy, Possible loss levy and VAT account for the highest tax costs on fuel.

Kenya charges the highest taxes and levies on super petrol, diesel and kerosene compared to other regional countries such as Uganda and Tanzania.

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