Fuel prices in Kenya have officially hit record highs in the latest Energy and Petroleum Regulatory Authority (EPRA) price review announced on Thursday, April 14.
Applicable pump prices for Super Petrol, Kerosene and Diesel all increased by Ksh9.90 per litre. The new prices will take effect from midnight.
Super Petrol, Diesel and Petrol will go for Ksh144.62, Ksh125.5 and Ksh113.44 respectively in Nairobi. The hike comes amid a massive fuel shortage that has left Kenyans frustrated and slowed down economic activity, in addition to sparking a row between the government and oil marketers on alleged hoarding.
Acting Energy Cabinet Secretary Monica Juma had earlier on Tuesday announced a raft of new measures intended to resolve the situation. She sought to assure Kenyans that the supply and distribution of fuel would be stabilized within the next 72 hours.
Juma hit out at the major oil marketing firms whom she accused of creating an artificial shortage. The OMCs, owed billions by the government, have been hesitant to open up the taps in Kenya – unsure if they can factor in the government compensation in their calculations.
CS Juma stated that the government had disbursed Ksh34.6 billion to oil companies from the fuel stabilisation fund. She further promised that Ksh14 billion would be paid out to oil marketers by 3 pm Thursday to clear the balance.
As a sort of punishment and reward system, the government is also reviewing import quotas for the oil marketing firms. They will cut import allocations for oil majors that increased the share sold to neighboring countries during the three weeks of the shortage.
Marketers who sold more locally will receive more fuel for the next three import cycles. Show cause letters were issued to 10 unnamed OMCs over the reports of hoarding. Further investigations being done to verify levels being held.
READ>>Why Safaricom’s Long-Time Customers Are Disillusioned
