The Energy and Petroleum Regulatory Authority (EPRA) has increased fuel prices, impacting farmers significantly.
Diesel prices rose by Ksh2.0 per liter, increasing input costs for agriculture and potentially driving up food prices.
In its announcement, the regulator noted that the maximum allowed petroleum pump prices for Super Petrol, Diesel, and Kerosene increased by Ksh 0.29 per litre, Ksh 2.0 per litre, and Ksh 3.0 per litre respectively.
This means that the prices of Super Petrol, Diesel, and Kerosene will now retail at Ksh176.58, Diesel at Ksh167.06, and Kerosene at Ksh151.39, respectively, between January 15th and February 14th, 2025.
“The prices are inclusive of the 16% Value Added Tax (VAT) in line with the provisions of the Finance Act 2025, the Tax Laws (Amendment) Act 2024, and the revised rates for excise duty adjusted for inflation as per Legal Notice No. 194 of 2000,” read the statement in part.
EPRA attributed the fuel price increase primarily to a rise in the landed cost of imported diesel. While the landed cost of super petrol and kerosene decreased during the review period, the overall price adjustments reflect a complex interplay of various factors influencing the fuel market.
This increase, coupled with global inflation and competition from subsidized agricultural products in developed countries, poses a significant challenge to Kenyan farmers and could potentially drive them out of business.
