Kenyans will continue to pay higher fuel prices as the Energy and Petroleum Regulatory Authority approves new tariffs for oil marketers.
Marketers evacuating fuel from the Kenya Pipeline Company (KPC) depot in Nairobi will be charged Ksh2,526.6 per cubic metre, up from Ksh2,074.5 under the new tariffs.
A litre of petrol currently costs Ksh178.30, a litre of diesel costs Ksh163, and a litre of kerosene costs Ksh146.94. However, with the tariff review, the cost is expected to be passed on to consumers, raising fuel prices.
Financial experts believe the new tariffs will have an impact on fuel prices over the next three years.
“The Energy and Petroleum Regulatory Authority has reviewed and approved the applicable Kenya Pipeline Company’s multi-year pipeline transport tariff for the tariff control period 2022/2023-2024/2025,” EPRA Director General, Daniel Kiptoo, stated on Friday, November 4.
Defending the move to increase the depot tariffs, KPC argued that the extra money collected would help the company improve its structures.
KPC added that the funds collected would be critical in constructing a new pipeline from Mombasa to Nairobi, thus enhancing efficiency and, in the long term, reducing the cost of evacuating fuel.
