LPG use increases by 83pc, says report

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The use of Liquefied Petroleum Gas (LPG) has increased by 83 per cent, according to the Petroleum Institute of East Africa (PIEA).

PIEA indicated that the average sales of LPG in metric tonnes during the first half of 2016 stood at 81,356 compared to 44,360 recorded in the same period in the previous year. This, according to the institute's head, Powell Maimba, was partially attributable to the waiver of Value Added Tax and remittance of data by all LPG, meaning that everything was recorded.

A 32 per cent increase in the consumption of petrol in the country was also recorded in the first half of the year.
However, the Government’s decision to increase road maintenance levy and reintroduce excise duty saw an increase of Sh6 and Sh7.21 in diesel and kerosene respectively.

This increase was done to restrict adulteration of fuel due to the price difference that encouraged the vice.
According to PIEA, the menace is still ongoing.

“The incentive to adulterate is still contagious even after excise duty was imposed in this third quarter and this is because the tax difference is huge and needs to be sealed,” said Maimba in a previous briefing.