This archive report was first published on 15 June 2020.
As of July this year, Kenyans will be paying more for fuel due to a new tax that will take effect on July 1. The tax is in the form of an upward adjustment of the excise duty charged on fuel and other goods.
According to the Kenya Revenue Authority (KRA), the excise duty on at least 31 goods will increase by about 5.5 percent. This means that the prices of various goods, including fuel, will go up.
For instance, the price of super petrol is expected to increase by Sh. 1.16 per litre, while kerosene and diesel prices will rise by Sh. 0.60 per litre. The Business Daily reported that the average inflation for the 11 months to May stood at 5.51 percent, which will lead to an increase in the excise duty on beer, spirits, and wine.
Beer prices are set to increase by Sh. 6.10 per litre, while the excise duty on spirits will go up by about Sh. 13.40 from Sh. 253 per litre. Wine will attract an additional Sh. 10.41 tax from the current Sh. 189 per litre.
Already, Kenyans are set to pay some Sh. 300 more on cooking gas from July this year. This new tax has been seen as punitive to the poor, low, and middle-income population in Kenya.
