Fuel Prices Could Have Been Worse: EPRA Explains Government’s Role in Protecting Consumers

The Energy and Petroleum Regulatory Authority (EPRA) has explained how government interventions have helped cushion Kenyans against even higher fuel prices amid rising costs in the international oil market.

The clarification comes as motorists and households continue to feel the pressure of expensive petroleum products, which have a direct impact on transport fares, food prices and the cost of essential goods and services.

Kenya relies on imported refined petroleum products, leaving the country exposed to fluctuations in global oil prices, shipping costs and other expenses associated with transporting fuel into the country.

Through the fuel price stabilisation mechanism, the government can use funds from the Petroleum Development Levy to absorb part of the increase in fuel costs instead of passing the entire burden to consumers.

However, the latest price review has seen the government hold back the stabilisation funds as it prepares for possible further increases in international fuel prices in the coming months.

EPRA Director-General Edward Mwirigi Kinyua has explained that the decision was informed by concerns that global market conditions could put additional pressure on fuel prices in November and December.

In the October 15 to November 14, 2026, pricing cycle, Super Petrol increased by KSh12.93 per litre, diesel by KSh9.90 and kerosene by KSh28.49.

In Nairobi, Super Petrol is retailing at a maximum of KSh226.96 per litre, diesel at KSh227.76 and kerosene at KSh219.87.

The government has also maintained the reduction of Value Added Tax (VAT) on petroleum products from 16 per cent to eight per cent, a measure intended to reduce the impact of rising international costs.

Despite these interventions, the latest increases have renewed concerns about the cost of living, with higher fuel prices threatening to push up transport and business operating expenses.

EPRA has indicated that the stabilisation mechanism remains an important tool for managing the impact of fuel price fluctuations, although the availability of funds and the outlook for international markets influence when the government can deploy it.

The developments highlight the challenge facing policymakers as they seek to balance immediate relief for consumers with the need to preserve resources for possible future increases in fuel prices.

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