The Energy and Petroleum Regulatory Authority (EPRA) has responded to growing public outrage over the high cost of fuel in Kenya, which remains the most expensive in East Africa despite recent adjustments.
Last week, fuel prices rose again, with petrol increasing by Ksh.8.99 per litre, diesel by Ksh.8.67, and kerosene by Ksh.9.65.
A spot check by cityMirror revealed that petrol in Kenya is currently retailing at Ksh.186.31 per litre, the highest in the region. Uganda follows closely at Ksh.182.21, while Rwandans pay Ksh.161.32, Tanzanians Ksh.142.70, and Ethiopians Ksh.114.49.
Diesel prices are similarly steep, with Kenyan motorists paying Ksh.171.58 per litre, followed by Uganda at Ksh.169.22, Rwanda at Ksh.157.21, Tanzania at Ksh.137.30, and Ethiopia at Ksh.108.84. For kerosene, Kenyans again top the list, paying Ksh.156.58 per litre, ahead of Uganda at Ksh.126.32, Tanzania at Ksh.130.40, and Ethiopia at Ksh.108.85.
In a statement addressing frequently asked questions, EPRA explained that several domestic factors are to blame for Kenya’s elevated fuel prices. Chief among them is the country’s heavy taxation of petroleum products, which includes multiple levies and duties that drive up the retail cost.
The authority also highlighted the impact of a weakening local currency, noting that the depreciation of the Kenyan shilling against the US dollar has significantly increased the cost of importing petroleum products.
Since most East African countries import fuel priced in dollars, the exchange rate plays a major role in determining local pump prices.
The authority also cited the local currency exchange rate whereby the weakening of the Kenyan shilling against the US dollar increases the cost of fuel imports.
“Many East African countries rely on the importation of crude oil and refined petroleum products. The cost of these imports is denominated in U.S. Dollar,” EPRA explained.
“If the local currency depreciates against the dollar, the cost of importing petroleum products increases, leading to higher prices at the pump.”
The regulator emphasised that while international oil prices affect all countries equally, domestic policies and economic conditions largely determine the final cost passed on to consumers.
