Setback for consumers as ERC hikes fuel pump prices

 

Consumers will have to dig deeper into their pockets after the Energy Regulatory Commission (ERC) increased the pump prices of petrol, diesel and kerosene in its latest review.

In the prices that will run up to October 14, a litre of super petrol will cost Sh2.22 more in the capital, while that of diesel has risen by Sh1.

Most poor households that mainly rely on kerosene for cooking and lighting have also not been spared, with a litre of the commodity to cost them Sh0.94 more from today.

Most expensive

The price review means that in Nairobi, super petrol will retail at a maximum of Sh98.30, while the same quantity of diesel and kerosene will cost Sh86.86 and Sh64.36 respectively for the next one month.

ERC acting Director-General Robert Oimeke said in a statement yesterday the changes are in line with increases in the landed cost of petroleum during the import period.

Some 41 out of the 62 major towns in Kenya contained in the ERC pricing guide will buy petrol at over Sh100 per litre, with the commodity being most expensive in Mandera at Sh112.11.

The regulator said a litre of super petrol was shipped in at Sh44.11 per litre.

However, taxes and levies increased the price by Sh39.04. Dealers and importers will get Sh10.89 on every litre sold. Distribution costs add Sh4.26 to the cost.

The average landed cost of imported super petrol rose by 7.48 per cent from $521.4 (Sh53,522) per tonne in July to $560.40 (Sh57,525) in August. Within the same period, the price of a tonne of diesel rose by 1.48 per cent to $479.21 (Sh49,190). That of kerosene rose by 0.72 per cent from $490.50 (Sh50,350) to $494.20 (Sh50,730), leading to the price adjustment.