The Energy & Petroleum Regulatory Authority (EPRA) has announced new maximum retail prices of petroleum products for the period 15th May 2023 to 14th June 2023.
The prices reflect an increase in the cost of imported refined petroleum products and the removal of the subsidy on diesel and kerosene.
However, the subsidy on Diesel and Kerosene that was introduced in January 2022 to cushion consumers from high fuel prices has been removed, resulting in a significant increase in their pump prices.
The new prices are inclusive of the 8% Value Added Tax (VAT) in line with the provisions of the Finance Act 2018, the Tax Laws (Amendment) Act 2020 and the revised rates for excise duty adjusted for inflation as per Legal Notice No. 194 of 2020.
The changes in the maximum allowed petroleum pump prices in Nairobi are as follows: Super Petrol, Diesel and Kerosene increase by KES 3.40 per litre , KES 6.40 per litre and KES 15.19 per litre respectively.
The new prices will be in force from 15th May 2023 to 14th June 2023.
EPRA said that it is guided by Section 101(y) of the Petroleum Act 2019 and Legal Notice No.192 of 2022 in setting the maximum retail prices of petroleum products.
According to EPRA, the average landed cost of imported Super Petrol increased by 8.63% from US$666.51 per cubic metre in March 2023 to US$724.01 per cubic metre in April 2023; Diesel decreased by 2.51% from US$705.82 per cubic metre to US$688.07 per cubic metre while Kerosene decreased by 1.13% from US$707.53 per cubic metre to US$699.54 per cubic metre.
The authority also urged consumers to report any cases of overpricing or adulteration of petroleum products to its offices or through its toll-free line 0800-222-222.
The new prices come at a time when Kenya is facing high inflation and economic challenges.
According to GlobalPetrolPrices.com, Kenya has one of the highest fuel prices in Africa, with a litre of gasoline costing KES 181.16 and a litre of diesel costing KES 164.21 as of May 8th, 2023.
