A rise in fuel prices is set to ripple quickly through Kenya’s transport sector, with operators warning that commuters should brace for higher fares in the coming weeks.
The Kenya Transporters Association said on Wednesday that the latest increase in pump prices would make it difficult to maintain current rates. The announcement followed a fresh review by the Energy and Petroleum Regulatory Authority, which raised the cost of both petrol and diesel.
Under the new pricing, petrol has risen by nearly 29 shillings per litre, while diesel has jumped by more than 40 shillings. Kerosene prices remain unchanged.
For transporters, the increase is significant. Diesel, now priced above 200 shillings per litre in Nairobi, is the backbone of the country’s public and freight transport systems.
“Fuel accounts for roughly 55 per cent of operating costs in road transport,” the association said in a statement. “With such increases, a review of fares is inevitable.”
That reality is likely to be felt most sharply by daily commuters, particularly in cities such as Nairobi, where public transport remains the primary means of getting to work.
The regulator attributed the price rise to higher global oil costs and shifts in the exchange rate, which have pushed up the landed cost of imported fuel. It also cited existing taxes under the VAT framework, though it noted a slight reduction in VAT from 16 to 13 per cent in an effort to ease pressure on consumers.
Even with that adjustment, retail prices remain high. In Nairobi, petrol now sells at about 206.87 shillings per litre, with diesel close behind. Prices vary slightly in other cities, including Mombasa and Kisumu, but the upward trend is consistent nationwide.
Transporters have been advised to review their cost structures and engage customers on revised rates. For many, however, there is little room for delay.
The coming weeks are expected to test the balance between rising operational costs and the public’s ability to pay.
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