Fuel cost flip-flop: EPRA reduces pump prices after sharp hike
The Energy and Petroleum Regulatory Authority (Epra) has reduced the pump prices of petrol and diesel a day after announcing a sharp increase of up to Sh40 per litre.
In the new rates released on Wednesday, April 15 evening, the price of petrol has reduced by Sh9.37 and diesel by Sh10.21 to retail at Sh197.60 and Sh196.63, respectively, in Nairobi.
This comes after the National Treasury further reviewed VAT on fuel for the second time in two days, from 13 percent to 8 percent.
The new fuel prices are effective from April 16.
In Epra’s Tuesday review, pump prices jumped by a record Sh40 from midnight, driven by rising global fuel costs and a surge in shipping charges in the wake of the US-Israel war on Iran.
A litre of diesel rose by the steepest margin of Sh40.30 and retailed at Sh206.84 in Nairobi, on Wednesday, April 15, while petrol cost Sh206.97, reflecting an increase of Sh28.69.
A subsidy of Sh99.16 per litre of kerosene kept its price unchanged at Sh152.78.
The increase, which came despite subsidies of Sh20.30 and Sh4.92 per litre of diesel and petrol, respectively, reflected the impact of the Middle East conflict, which has triggered an increase in product prices and shipping costs due to the blockade of the Strait of Hormuz.
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