PSV operators issue strike threat

By PETER ORENGO

People planning to travel upcountry for Christmas may find it difficult getting transport following a strike threat by public service vehicle operators.

The Matatu Welfare Association (MWA) on Sunday gave the government one week to reduce fuel prices by 30 per cent, or the association will ask its members to go on strike starting 19th to 27th of December.

The action, endorsed by the Central Organisation of Trade Unions-Cotu, will be joined by the Kenya Long Distance Drivers Association.

The operators are demanding a reduction of Super petrol from Sh124.10 to Sh86.90, Diesel from Sh114.10 to Sh79.90 and Kerosene from Sh94.85 to Sh66.40.

"We realised that fare adjustments will only worsen the already fragile lifestyle of our people and hype discontent and tension. We want the government to act fast and save Kenyans from suffering," said Dickson Mbugua, MWA Chairman.

Two months ago, Energy Regulatory Commission (ERC) reviewed upwards fuel pump prices for the fourteenth consecutive time, giving reasons for the rise in prices as a rise in the global fuel prices, the weakening of the shilling against the dollar, and the rise in financing costs after banks raised interest rates.

The move was faulted by Cotu who argued that, oil cartels that could be working with ERC, were to blame for fluctuations.

"The latest announcement by the ERC will negatively impact on our economy as a whole because all economic activities depend on fuel. We cannot allow the country to be held hostage by cartels," said Francis Atwoli, the Cotu Secretary General.

Matatu Owners Association recently hinted that a persistent rise in pump prices would at some point inevitably translate into higher fares. "Whether the service providers decide to delay the increment in price, or absorb some aspects of the added costs, increase in price is inevitable when there is an increase in operational costs," said Mr Samuel Kimutai.

Consumer Federation of Kenya (Cofek) has also warned it will mobilise Kenyans to demonstrate against escalating fuel prices and run-away inflation.