Motorists can now have a small sigh of relief after the Energy and Petroleum Regulatory Authority (EPRA) announced a slight reduction in fuel prices.
In its statement dated 14th October 2022 and released a few minutes past 10:00p.m. EPRA has set the maximum retail price of Super Petrol in Nairobi at 178.30. Diesel shall retail at 163.00 and Kerosene at 146.94. In Mombasa, the cost shall be 175.98, 160.76 and 144.69 for Petrol, Diesel and Kerosene respectively.
This is a very marginal reduction of 1 Shilling for Petrol and Kerosene and 2 Shillings for Diesel. EPRA stated, “A subsidy of Kshs.18.15/litre and Kshs.27.47/litre has been maintained for Diesel and Kerosene respectively in order to cushion consumers from the otherwise high prices.”
Some areas such as Mandera, motorists will have to part with Kenya Shillings 191.35 per litre of super petrol and Kenya Shillings 176.05 per litre of diesel. Kerosene will retail at 159.98 per litre.
During his swearing in last month, President William Ruto had indicated the end of fuel subsidy in the country since subsidies only benefitted a few market operators.
EPRA also indicated that, “The average landed cost of imported Super Petrol decreased by 10.60% from US$812.91 per cubic metre in August 2022 to US$726.77 per cubic metre in September 2022; Diesel decreased by 6.87% from US$949.68 per cubic metre to US$884.46 per cubic metre while Kerosene decreased by 1.82% from US$899.56 per cubic metre to US$883.22 per cubic metre.”
Although the international oil prices had decreased, EPRA pointed out that the exchange rate had gone up. “Over the same period, the mean monthly US Dollar to Kenya Shilling exchange rate depreciated by 2.69% from Kshs.120.64 per US$ in August 2022 to Kshs.123.88 per US$ in September 2022”