Kenya Railways Introduces KSh100,000 Wagon Fee for Vehicle Transport on SGR

Kenya Railways announced that customers moving vehicles between Nairobi and Mombasa on the Standard Gauge Railway will be charged KSh100,000 per wagon, not including value-added tax.

The corporation’s tariff book also records a base charge of KSh215 per kilometre, exclusive of VAT, which applies to each wagon under the railway’s operational rules.

Additional costs listed include a local haulage charge of KSh25,000 per wagon and a stoppage or diversion fee of KSh7,500 for local traffic, while transit traffic incurs a $350 stoppage or diversion charge per wagon.

Customers who exceed the free loading and unloading period will face a $100 charge for the first 24 hours, $150 per 24-hour period from the second to the fourth day, and $200 per 24-hour period from the fifth to the tenth day; after the tenth day, demurrage rates rise by 10 per cent each week until the wagon is released.

The new tariff structure is anchored in the Government Owned Enterprises (GOE) Act, 2025, which grants Kenya Railways the power to set, approve and collect fees for its services, facilities and assets.

Kenya Railways noted that VAT rates are not fixed and may be adjusted over time, and it confirmed that the tariffs and related charges became effective on June 1, 2026 and will stay in force until amended or withdrawn.

“The Corporation may, from time to time, advise on variations to tariffs, rates, or charges in line with market conditions, operational costs, fuel price changes, regulatory requirements, and strategic considerations, subject to the applicable approval and governance processes under the GOE Act, 2025,” the corporation stated.