NAIROBI, Kenya, Oct 14 – The Energy & Petroleum Regulatory Authority(EPRA) has marginally reduced the prices of fuel by between Sh1-2 with a partial subsidy being retained on diesel and kerosene.
In the latest EPRA review, the prices of petrol and kerosene have been reduced by Sh1 to retail at Sh178.30 and Sh163 respectively in Nairobi.
The price of a litre of diesel has been reduced by Sh2 to retail at Sh146.94.
In Mombasa, motorists will pay Sh175.98 for petrol, Sh160.76 for diesel and Sh144.69 for kerosene while in Kisumu they will pay Sh178.50 for petrol, Sh163.70 for diesel and Sh147.66 for kerosene
A subsidy of Sh18.15/litre and Sh27.47/litre has been maintained for diesel and kerosene respectively in order to cushion consumers from the otherwise high prices.
The energy regulator said that the Government will utilise the Petroleum Development Levy to compensate oil marketing companies for the difference in cost.
“The 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,” EPRA said in a statement.
The slight drop in fuel prices comes amid a drop in landing cost of the commodity.
The average landed cost of imported Super Petrol decreased by 10.6 per cent from USD812.91per cubic metre in August 2022 to USD726.77 per cubic metre in September 2022.
Diesel decreased by 6.87 per cent from USD949.68 per cubic metre to USD884.46 per cubic metre while Kerosene decreased by 1.82 per cent from USD899.56 per cubic metre to USD883.22 per cubic metre.
The new prices could offer a slight relief to Kenyans who are currently battling a high cost of living with the country’s inflation hitting 9.2 per cent in September due to high costs of fuel, food and housing.
