Why fuel is more expensive in Kenya than in neighbouring countries (Tanzania); EPRA
EPRA Director General explains why fuel in Kenya is more expensive than in neighbouring countries such as Tanzania
EPRA Director General explains why fuel in Kenya is more expensive than in neighbouring countries such as Tanzania.
In his Tuesday appearance before the National Assembly Energy Committee, EPRA Director General Daniel Kiptoo identified two reasons for the disparity in high fuel prices between Kenya and neighbours such as Uganda and Tanzania.
He attributed the sharp variations in prices to the pricing model and the currency rate.
According to EPRA, the Kenya shilling has lost some dominance over the Tanzania shilling in recent months.
The dollar, on the other hand, had gained dominance over the Kenyan shilling which is now retailing at Ksh151.40.
“We have lost 13 per cent of the Kenyan shilling to the Tanzanian shilling. As we convert that landed cost to the Kenya shilling, the biggest factor is the exchange rate. Even as we compare those Tanzanian numbers, we need to compare apples to apples,” he stated.
Tanzania, according to EPRA, employs a separate procedural model that dates back two months and was based on economic criteria.
On the other hand, Kenyans take into account the previous one month’s economic circumstances.
Ruto ally clash with CS Kuria over Gov Kawira Mwangaza impeachment
“Can’t do anything over high fuel prices,” President Ruto
Goverment moves to curb harassment of tourists and travelers at entry points following complaints
IMF increases loan limit to Kenya after review
DPP withdraws defilement case against UDA MP on daughter of a cabinet secretary
Meanwhile, Energy Cabinet Secretary Davis Chirchir said taxes imposed on fuel products in Kenya could not be compared to those of the neighbouring countries.
“Kenya has the lowest F&B premiums compared to Uganda and Tanzania.
However, our taxes and levies make the product more costlier,” he stated.
Fuel prices in Kenya could go up after CS Chirchir intimated that the prices could soon hit the Ksh300 mark owing to global factors, including the Israel-Hamas conflict.
In the latest review by Tanzania’s Energy and Water Utilities Authority (EWURA), a litre of Super Petrol was reduced from Ksh198.04 to Ksh197.62.
In Kenya, a similar quantity is being sold at Ksh217.36 after an increase of KshKsh5.72.
Diesel in Tanzania was set at Ksh 203.65. A similar amount in Kenya goes for Ksh205.47.
Also read,
KRA to conduct door-to-door rental income sensitisation
DCI arrests suspect shot by fellow gang member
Government warns CEOs of parastatals defying Ruto order
Former Uhuru advisor question questions government’s move to declare Monday, 13 public holiday
Kenya reverse policy on communication with foreign diplomats
CS Kuria pens then deletes message to Senate ahead of Governor Mwangaza’s impeachment trial
Follow us
