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Kenyans to be spared from ever-rising monthly fuel prices

Petrol price goes down by 3.7% to retail at 129.72

The Senate Energy Committee held a sitting on Thursday to deliberate high taxes and levies on petroleum products including cooking.

Ministry of petroleum and mining officials were hard-pressed to explain why Kenyans are paying more for fuel and cooking gas.

Narok Senator Ledama ole Kina, a member of the Committee in his submission during the sitting, demanded an explanation on the amount borrowed from petroleum development fund so as to stabilize the prices to avoid hiking of petroleum products.

It was a grilling much of which the Ministry’s Cabinet Secretary John Munyes failed to turn, instead sent representatives.

He was represented by Petroleum Chief Administrative Secretary (CAS) Engineer John Mosonik who said they have stabilized the prices of petroleum products, denying high taxes and levies on the products.

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“From April we have been using the fund. For now, we are going to stabilise the prices as we look at all the other components in the pricing,” said Musonik.

This will see motorists spared from ever rising fuel prices that have left Kenyans suffer due to high cost of living.

The scheme is meant to be activated whenever global oil prices go beyond the Ksh.5, 486 (US$.$50) per barrel mark.

The subsidy is drawn from billions of shillings raised from fuel consumers through the petroleum development levy, which was increased to Sh5.40 a litre in July last year from Sh0.40.

Energy Petroleum and Regulatory Authority (EPRA) was expected to raise the prices of petrol, diesel and kerosene by passing on the increased cost of importing fuel to consumers following a hike in global crude oil prices.

In the forthcoming fuel price review, Business Daily reports that a litre of super petrol which currently costs Ksh.127.14 was expected to shoot to Ksh.130.71 per litre.

This could have mean to pile pressure on the already struggling Kenyans in the wake of a hard hit economy due to the coronavirus pandemic.

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