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Fuel Prices Rise as New Taxes Take Effect

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Nyakundi Report

Newsroom 1 min read

This archive report was first published on 15 November 2019.

Kenya's fuel prices have risen as new taxes take effect, with the Energy and Petroleum Regulatory Authority (EPRA) announcing the increases in its monthly pricing guide.

According to the guide, the Import Declaration Fee (IDF) has been increased to 3.5% from 2%, while the Railway Development Levy (RDL) has risen to 2% from 1.5%.

The two levies are part of the new tax measures introduced in the Finance Act 2019, aimed at increasing tax revenues for the current financial year.

As a result, consumers will face higher prices for super petrol, diesel, and kerosene. Super petrol will retail at Sh110.59 per litre in Nairobi, up from Sh108.05 last month, while diesel will cost Sh104.61 per litre, a Sh2.65 increase from last month.

A litre of kerosene, used mainly by poor households for cooking and lighting, will retail at Sh104.06 in Nairobi, a Sh2.98 increase from last month.

Despite a reduction in Kenya Pipeline Company's (KPC) charges for the use of its pipeline to transport fuel, the price increases will still affect consumers.

EPRA stated that the computation of fuel prices has factored in the revised IDF and RDL, resulting in a saving of Sh0.05 in the overall price.

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