This follows President William Ruto’s Government's bid to
increase fuel prices in the upcoming review by the Energy and Petroleum
Regulatory Authority (EPRA).
This is due to an increase in global fuel prices as
announced by the Central Bank of Kenya (CBK) in its weekly review.
According to CBK, the prices went up in the week ending
February 22, a week after the monthly fuel review. The monetary policy regulator attributed the increase to
disruptions occasioned by attacks in the Red Sea.
"Murban oil price increased to USD 82.76 per barrel on
February 22 compared to USD 80.79 per barrel on February 15," CBK revealed
in its bulletin.
Notably, international fuel prices have been fluctuating,
affecting the cost of the commodity locally, regionally, and internationally.
Between November and December 2023, a significant increase
in global oil prices was recorded at USD 93.92 and USD 91 respectively.
In 2023, Kenyans questioned why the decrease in global fuel
prices in months like May and July did not reflect in the local prices when
petrol retailed at Ksh182.70 and Ksh194.68 respectively.
At the time, the Institute of Economic Affairs (IEA)
explained that Kenya imports refined oil and not crude oil which is among the
reasons why global factors don't affect the Kenyan market.
Another factor is the taxes in the country. Recently the
Ministry of Energy increased the Petroleum Regulatory Levy from Ksh 0.25 to
Ksh0.75 per litre.
The expense is among nine other taxes and levies charged on
fuel which affect pump prices.
Currently, motorists in Nairobi pay Ksh206.36, Ksh195.47, and
Ksh193.23 for petrol, diesel, and kerosene. This was after the regulator reduced
fuel prices by Ksh1 for February.
The next review has been scheduled for March 14.
The Kenyan DAILY POST
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