(Nairobi) – The Energy and Petroleum Regulatory Authority (EPRA) has announced that fuel prices in Kenya will remain unchanged for the next 30 days, following its monthly review. The prices for Super Petrol, Diesel, and Kerosene have been retained at KSh 180.66, KSh 168.06, and KSh 151.39 per litre, respectively. This decision comes amid fluctuating global fuel costs, with some products experiencing price changes while others remain stable.
The regulator’s announcement comes at a time when global energy markets are closely monitoring the impact of various international factors, including ongoing conflicts in the Middle East and rising taxation aimed at reducing fossil fuel use. Despite these challenges, fuel prices in Kenya will not be affected by the changes seen on the global market during this review period.
According to EPRA, the average landed cost of imported Super Petrol increased slightly by 0.54%, rising from KSh 637.70 per cubic metre to KSh 641.14 per cubic metre. On the other hand, the landed cost of Diesel decreased by 4.34%, dropping from KSh 636.22 to KSh 608.61 per cubic metre. Kerosene, however, saw a price increase of 3.97%, moving from KSh 623.39 to KSh 648.14 per cubic metre. These fluctuations in the costs of importing fuel are reflective of global trends, though they will not be passed on to consumers during this review period.
EPRA also highlighted that the prices are inclusive of the 16% Value Added Tax (VAT), as per the provisions of the Finance Act 2023 and the Tax Laws (Amendment) Act 2020. These taxes, along with the revised excise duty rates adjusted for inflation, ensure the continued flow of government revenues despite the volatile nature of global oil markets.
In major cities across the country, fuel prices will vary slightly. In Mombasa, the prices for Super Petrol, Diesel, and Kerosene will be KSh 177.42, KSh 164.82, and KSh 148.15, respectively. In Kisumu, the retail prices will be KSh 180.86 for Super Petrol, KSh 168.44 for Diesel, and KSh 151.82 for Kerosene.
Kenya, which imports all its fuel products in refined form, is affected by international market trends that determine fuel pricing. The country relies on global pricing benchmarks for fuel, and thus any fluctuation in international markets can impact local prices. However, the government and regulatory authorities like EPRA have the power to influence local pricing by managing taxes and adjusting for inflation, as seen in the current pricing strategy.
The international fuel market remains unpredictable, with various geopolitical and economic factors at play. Global conflicts, such as those in the Middle East, could potentially disrupt key oil production sites and shipping routes, further complicating fuel price predictions. The World Trade Organization (WTO) Director-General, Ngozi Okonjo-Iweala, highlighted in October that while these impacts may primarily affect the countries involved, they could also have a ripple effect on global energy costs and shipping logistics, which could influence prices in Kenya and other countries dependent on international fuel supplies.