Motorists, commuters hit as ERC announces highest fuel price increase in three months

A pump attendant at a filling station. Fuel prices have gone up in the highest increase in the last three months. PHOTO | PAUL WAWERU | NATION MEDIA GROUP

By  NATION REPORTER

What you need to know:

  • Petrol will now retail at Sh97.28, up from Sh92.89 in Nairobi, while diesel will cost Sh83.31, up from Sh79.34. Kerosene will retail at Sh61.78.
  • In the wake of the new price adjustments, matatu operators have said they will meet on Wednesday to set new fares.
  • ERC attributed the latest price increase to the weakening shilling and an increase in the average landed cost of imported petroleum products.
  • Wiper leader Stephen Kalonzo has criticised the Jubilee administration for the rise in fuel prices.

Motorists will have to contend with high fuel prices after the Energy Regulatory Commission on Sunday announced the highest price increase in the past three months.

This was the second increment in a row and took effect Sunday night.

The commission announced an increase in the price of a litre of petrol by Sh4.39, Sh3.97 for a litre of diesel and Sh2.54 for a litre of kerosene.

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Petrol will now retail at Sh97.28, up from Sh92.89 in Nairobi, while diesel will cost Sh83.31, up from Sh79.34. Kerosene will retail at Sh61.78.

Commuters using public transport will also not escape the pain of the high prices as matatu owners will pass the extra cost to them.

MATATU FARES

In the wake of the new price adjustments, matatu operators have said they will meet on Wednesday to set new fares.

Matatu Welfare Association chairman Dickson Mbugua said the move is unfortunate and is likely to hurt the industry.

The ERC attributed the latest price increase to the weakening shilling and an increase in the average landed cost of imported petroleum products.

“The average landed cost of imported Super Petrol increased by 5.11 per cent from $669.15 per tonne in April 2015 to $703.37 in May.

"Similarly, the average landed cost of diesel increased by 3.61 per cent and that of kerosene rose by 3.25 per cent,” said the ERC in a statement by director-general Joseph Ng’ang’a.

Meanwhile, Wiper leader Stephen Kalonzo has criticised the Jubilee administration for the rise in fuel prices.

Speaking at a fundraiser for the Africa Brotherhood Church in Thange, Kibwezi East, in Makueni County, Mr Musyoka said the increase would hurt the country’s economy and hit the poor hard.

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