By Andrew Kariuki
The latest increase in fuel prices announced by the Energy and Petroleum Regulatory Authority (EPRA) has once again drawn attention to a previous constitutional petition that challenged the government’s fuel subsidy and pricing structure in Kenya.
The debate resurfaced after EPRA announced new pump prices effective between May 15, 2026 and June 14, 2026, with Super Petrol increasing by Ksh16.65 per litre while Diesel rose sharply by Ksh46.29 per litre.
The new prices have renewed scrutiny over Kenya’s fuel pricing model, particularly the controversial cross-subsidy system that was previously contested in court through a petition filed by lawyer Kevin Turunga Ithagi.
The petition, filed in 2023 against EPRA and the Cabinet Secretary for Energy, questioned the legality and fairness of the subsidy arrangement where petrol consumers were allegedly used to cushion Diesel and Kerosene prices.
Court filings in the matter argued that the pricing framework unfairly shifted the financial burden onto Super Petrol users without adequate public participation or transparency in the implementation process.
The petitioner further claimed the system violated constitutional principles relating to fair administrative action, equality before the law, taxation and consumer protection.
At the centre of the dispute was EPRA’s decision to maintain subsidies on Diesel and Kerosene while adjusting petrol prices upwards through the Petroleum Development Levy mechanism.
The government defended the subsidy framework, arguing that Diesel remains a key driver of the economy because it directly affects transport, food production, manufacturing and other essential sectors.
According to the state, cushioning Diesel prices was necessary to help contain inflation and stabilize the economy during periods of volatile global oil prices.
In its decision delivered in 2024, the High Court dismissed the petition and upheld EPRA’s pricing model, finding that the regulator had acted within the law and in accordance with its statutory mandate under the Petroleum Act and related regulations.
The court further accepted the government’s argument that the subsidy structure served a broader public interest due to Diesel’s critical role in economic activities across the country.
Despite the ruling, concerns over fuel pricing have continued to grow as consumers, transport operators and businesses face mounting operational costs linked to repeated fuel price adjustments.
Several companies and industry stakeholders have also continued raising concerns over the impact of rising fuel costs on transportation, production expenses and commodity prices.
Under the newly released EPRA prices, motorists in Nairobi will now pay KSh214.25 per litre for Super Petrol and KSh242.92 per litre for Diesel, while in Kisumu, Super Petrol will retail at KSh213.91 and Diesel at KSh243.14 per litre.
EPRA attributed the latest adjustments to increased global petroleum prices and higher landed costs of imported fuel products.
