‘Expect pump prices to go up by Ksh10 every month’ – CS Kuria

Friday, September 15th, 2023 10:20 | By
Trade Cabinet Secretary Moses Kuria. PHOTO/Moses Kuria(@HonMoses_Kuria)/Twitter
Trade Cabinet Secretary Moses Kuria. PHOTO/Moses Kuria(@HonMoses_Kuria)/Twitter

The Cabinet Secretary for the Ministry of Investments, Trade and Industry Moses Kuria says Kenyans should brace themselves for tougher times ahead amid uproar over hiked fuel prices.

In a post on X, formally Twitter, hours after fuel prices crossed the Ksh200 mark, Kuria defended the government saying global crude prices were on the upward trajectory.

Kuria further warned that the prices would continue to rise by at least Ksh10 every month until February.

"Global Crude Prices are on an upward trajectory. For planning purposes expect pump prices to go up by Ksh 10 every month till February," Kuria wrote on Friday, September 15.

The Kenya Kwanza administration came under heavy criticism last night after increasing Super Petrol prices by Ksh16.96, Diesel by Ksh21.32 and Kerosene by Ksh33.13.

The September review saw the prices of petroleum products in the country rise to an all-time high, hitting hard the consumers who are grappling with the cost of basic commodities such as food and other commodities that depend on the fuel rates.

President William Ruto and his Kenya Kwanza allies had during the campaign period pledged to lower the cost of fuel by doing away with some taxes but this is yet to be actualized. Instead, the government recently doubled Value Added Tax (VAT) on petroleum products to 16 per cent, besides scrapping fuel subsidies introduced by retired President Uhuru Kenyatta to cushion consumers.

A litre of Super Petrol in Nairobi is currently retailing at Ksh211.64, Diesel Ksh200.99, and Kerosene Ksh202.61.

Energy and Petroleum Regulatory Authority (EPRA) Managing Director Daniel Kiptoo, while announcing the new fuel prices on Thursday night, attributed the hike in fuel prices to an increase in weighted average cost of imported refined petroleum products.

“The prices are inclusive of the 16% Value Added Tax (VAT) in line with the provisions of the Finance Act 2023, the Tax Laws (Amendment) Act 2020 and the revised rates for excise duty adjusted for inflation as per Legal Notice No. 194 of 2020,” he stated.

“The average landed cost of imported Super Petrol increased by 4.80% from US$739.21 (Ksh107,909.88) per cubic metre in July 2023 to US$774.67 (Ksh113,086.33) per cubic metre in August 2023; Diesel increased by 12.52% from US$701.99 (Ksh1022,476.50) per cubic metre to US$789.89 (Ksh115,308.14) per cubic metre while Kerosene increased by 19.79% from US$690.58 (Ksh100,810.87) per cubic metre to US$827.26 (Ksh120,763.41) per cubic metre.”

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