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A petrol station worker refuels a car along Kimathi Street on July 14, 2019, after the Petroleum and Energy Regulatory Authority (EPRA) announced new retail prices at the petroleum products pump in effect from July 15 to August 14, 2019 .29 per liter while diesel and kerosene decreased by Sh 0.88 and SH 2.31 per liter respectively.
Kenyans are expressing their anger at the fuel price hikes announced on Sunday in the energy regulator’s latest adjustment.
The price of fuel in the country is determined by a government authority, which sets the maximum prices for each type of fuel.
In calculating the retail price, the Energy and Petroleum Regulatory Authority (Epra) includes factors such as the landed cost of the fuel (the cost when it is shipped into the country), profit margins distributors and traders and a number of taxes. .
At the current cost of 122.81 shillings ($ 1.2; £ 0.8) per liter of gasoline in Nairobi, the landed cost is 49.84 shillings, with most other costs (57.33 shillings) being supported by taxes and other levies.
Some Kenyans criticize the government for the high amount of taxes:
Caleb Kositany – MP, Soy: The government does not sit down and plan properly. From the Ksh.122 that goes to fuel, the government takes about Ksh.40/50 in taxes here and there. The best thing is for the government to reduce the taxes it takes#Dawn | @SamGituku pic.twitter.com/9VIGn0cgtE
– Citizen TV Kenya (@citizentvkenya) March 15, 2021
High fuel costs contribute to a higher cost of living in the country, as the economy relies heavily on diesel for power generation and transportation.
A politician took advantage of rising fuel prices to rally against the constitutional amendment in an upcoming referendum scheduled for later this year:
Taxes are a major component of fuel prices. With BBi proposing an enlarged parliament of around 600 members, taxes will rise and fuel prices will rise further. China, a country of 1.4 billion, has 2,000 MPs, Kenya will have 600 Mps, a country of 45M. pic.twitter.com/VyRTMg5qMe
– Irungu Kang’ata (@HonKangata) March 15, 2021
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