Kenya’s energy regulator EPRA has announced reductions in fuel prices for the coming month: Super Petrol by KSh2.00, Diesel by KSh1.00, and Kerosene by KSh1.00 per litre.
In Nairobi, this means Super Petrol will retail at KSh182.52 per litre, Diesel at KSh170.47, and Kerosene at KSh153.78. While the cuts provide some relief, they are unlikely to be strongly felt by households or motorists, as taxes and statutory levies still make up a large portion of the pump price.
Current fuel costs include 16% VAT, inflation-adjusted excise duties under Legal Notice No.194 of 2020, and additional measures from the Finance Act 2023 and Tax Laws (Amendment) Act 2024. Diesel prices remain above KSh170 per litre, keeping transport, manufacturing, agriculture, and electricity generation costs high, which in turn pushes up matatu fares, food distribution, and factory input prices.
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Kerosene, a staple for low-income households, also remains costly despite the price drop, raising concerns about energy affordability for vulnerable consumers already grappling with high food and housing expenses.
Meanwhile, fuel retailers face stricter regulatory oversight as the Kenya Revenue Authority (KRA) enforces compliance with electronic tax invoicing. The eTIMS Fuel Station System, mandatory since June 30, 2025, integrates real-time invoicing directly with KRA to improve accuracy and transparency, aiming to curb revenue leakages in the fuel sector, which contributes significantly to domestic tax collections.
