Diesel shortage has hit various petrol stations in the country with some operators revealing that they have run out of diesel for two weeks now. – By Meshack Makau
However with some petrol stations like Ola Energy located at Bunyala road and Shell along Mombasa Road was business as usual.
A continued scarcity of the crucial commodity would deal a blow to thousands of motorists who rely on diesel, which would increase cost of transport in Nairobi and other areas.
Diesel is also used to power machines in the processing sector and its scarcity can easily lead to a rise in prices of consumer goods.
Energy Principal Secretary Andrew Kamau last week told Reuters of plans by the government to set up a diesel standardization fund to keep fluctuations in the price of the product in check.
The PS said motorists would pay Sh5 more per litre which would go to the kitty to cushion them against future price hikes.
Diesel currently retails at Sh2.76 more per litre after the Energy and Petroleum Regulatory Authority (EPRA) reviewed its prices upwards in August.
EPRA said the higher prices were due to an increase in the average costs of importing fuel, with average landed cost of importing diesel increasing by 10.3 per cent per cubic metre – Sh32,632 ($302.15) to Sh35,993 ($333.27) – between June and July.
The Energy Petroleum Regulatory Authority (EPRA) is set to review fuel prices this week, in adjustment to global fuel price.
