Petrol hits Sh226.96 in Nairobi as EPRA raises fuel prices

Motorists in Nairobi are paying Sh226.96 for a litre of super petrol from today, up Sh12.93, after the Energy and Petroleum Regulatory Authority (EPRA) raised pump prices for the October to November cycle. Diesel rises by Sh9.90 to Sh227.76, while kerosene climbs by Sh28.49 to about Sh219.9 a litre. The new prices run until 14 November.

EPRA blamed the conflict in the Middle East, which it said has disrupted supply chains and pushed up import costs, and the end of a fuel subsidy that had been in place since April. The regulator said the world price of super petrol more than doubled during the worst of the conflict in September, from about US$600 to US$1,300 per tonne.

The steep rise in kerosene is meant to narrow its price gap with diesel and discourage the mixing of the two, a practice EPRA links to the matatu sector. VAT on fuel stays at 8 percent.

The Motorists Association of Kenya has rejected the review. It wants an independent audit of the government-to-government fuel import deal, publication of EPRA's full pricing calculations, and an explanation for the kerosene increase, which it says will hit poor households hardest. The association threatened peaceful protests but did not give a date.

Higher fuel prices usually feed into matatu fares, food prices and the cost of moving goods. Kenya's inflation rose to 6.8 percent in September.