Eyes on Epra as Tanzania hikes pump prices by 34 per cent

Fuel price rise in Tanzania shifts focus to Epra ahead of Kenya's next review. [File, Standard] Tanzania has increased pump prices of super petrol and diesel by Sh50 per litre starting Wednesday this week, a pointer to the pain at the pump that Kenyans are set to experience in two weeks when the Energy and Petroleum Regulatory Authority (Epra) announces prices for the April-May cycle on April 14. The country's Energy and Water Regulatory Authority (Ewura) said the cost of super petrol would rise by about Sh50 (TSh956) effective April 1 to Sh192 (TSh3,820) from Sh143 (TSh2,864) in March in the port city of Dar es Salaam. Diesel has risen to TSh3,806 per litre from TSh2,858 in March. In Kenya, pump prices remained stable at Sh178.28 per litre of super petrol in Nairobi and Sh166.54 for diesel amid concerns by a section of the oil sector players that the prices did not reflect the realities of the war in the Gulf that has led to higher costs of petroleum products as well as shipping charges. Prices in Kenya have always been higher than in neighbouring Tanzania on account of higher taxes in Kenya, where Sh80 out of Sh178.28 charged for a litre of petrol is in the form of taxes and levies. The higher cost in Kenya has also been in spite of the government stepping in and subsidising retail costs with money drawn from the motorists' funded Petroleum Development Levy Fund. South Africans also started feeling the heat at the pump on April 1, following a Sh60 (7.51 rand) increase in the per-litre cost of diesel and a Sh24 (3.06 rand) per litre hike in the price of petrol. Energy authorities attributed the increases to the aftermath of the attack by the US and Israel on Iran. Oil prices have risen to over $100 per barrel, with Brent crude standing at $109 yesterday and Murban at $113, up from around $70 in early March. "The changes in fuel prices in the country for April 2026 have been largely influenced by the ongoing conflict between the US and Israel against Iran, which began on February 28, 2026," said Tanzania when it announced new prices that will be effective for the next month. "Attacks on oil fields, storage facilities, and refineries, along with Iran's closure of the Strait of Hormuz, which handles approximately 20 per cent of the world's transported oil, have affected oil production in the Middle East from which Tanzania sources most of its products. This has equally increased shipping costs due to a shortage of cargo vessels and raised insurance premiums for cargo ships. Kenya will review prices on April 14, during which the cost of fuel is expected to go up significantly, with analysts warning of significant shocks that the fuel stabilisation kitty might not help absorb. Retailers in different parts of the country have, in the last two weeks, reported intermittent supply, even as the government said there is adequate fuel in the country, further arguing that the government-to-government deal signed with Gulf oil companies had guaranteed that the country would be well stocked in the coming weeks. The energy crisis that is now starting to unfold in the region has caught the eye of the regional consumer watchdog, the Comesa Competition and Consumer Commission (CCCC), which warned petroleum sector players not to take advantage of the situation and exploit consumers. The Commission said it would penalise players found to be hoarding products in anticipation of higher prices or increasing prices by unreasonable margins in markets where prices are not regulated, noting that these circumstances do not justify any form of anti-competitive conduct or unfair trade practices. "We wish to warn undertakings, especially those with business presence in Comesa, that we shall unapologetically, together with the Member States, enforce competition and consumer laws to the letter and spirit to ensure that the durability and confidence in markets is not eroded," said Dr Willard Mwemba, the Commission's chief executive officer, in a March 20 statement "CCCC will deploy its full powers to detect, investigate and penalise infringements of the law to protect consumers and ensure markets remain fair and competitive." This is even as it told consumers and businesses who may feel aggrieved by unfair and anti-competitive actions of industry players to the Commission with information that would assist in investigations. "CCCC stands with honest businesses and consumers during this challenging period. The CCCC will not allow the crisis to be used as a pretext for collusion, exploitation or deception," said Mwemba. He however said in times of crisis, its regulations to an extent allow "anti-competitive behaviour... to address bigger public interest and concerns" and urged players who might have no options to "make an application to the CCCC for authorisation to enter or give effect to agreements even if they are anti-competitive if the CCCC determines that benefits arising from the agreements outweigh the anti-competitive effects."

Eyes on Epra as Tanzania hikes pump prices by 34 per cent

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