New Kenya fuel Prices
The Energy and Petroleum Regulatory Authority (EPRA) has announced a significant increase in fuel prices effective midnight, April 15, 2026. While Super Petrol and Diesel have surged by double digits, the price of Kerosene remains unchanged.
New Pump Prices (per litre)
- Super Petrol: KSh 206.97 (Increased by KSh 28.69).
- Diesel: KSh 206.84 (Increased by KSh 40.30).
- Kerosene: KSh 152.78 (Unchanged)
Key Reasons for the Hike
- Global Supply Shock: A Middle East supply crisis has caused the landed cost of imported fuel to more than double in a single month.
- Landed Costs: Between February and March 2026, the landed cost of Diesel jumped by 68.72% and Super Petrol by 41.53%
To prevent even higher prices, the government implemented two major interventions:- VAT Reduction: Value Added Tax (VAT) on petroleum products was reduced from 16% to 13%.
- Stabilisation Fund: Approximately KSh 6.2 billion from the Petroleum Development Levy (PDL) fund was used to subsidise the current prices. Without this, Kerosene would have retailed at roughly KSh 260 per litre
- Following the historic KSh 40 jump in diesel prices, transport operators have officially announced fare hikes starting Wednesday, April 15, 2026, to cover rising operational costs. Fare Adjustments
- Nairobi & Metropolis: Fares are expected to increase by KSh 10 to KSh 50. The Matatu Owners Association (MOA) has specifically guided for hikes between KSh 30 and KSh 50 during both peak and off-peak hours for routes within the city and its surrounding areas.
- Nationwide Percentages: The MOA has recommended a general nationwide increase of 20% to 30%.
- Specific Route Examples:
- Naivasha to Nairobi: Fares are projected to rise from KSh 200 to KSh 250.
- Lucky Summer (Nairobi): Local saccos have already announced a flat KSh 10 increase across all their routes.
- Freight and Logistics
- Long-Distance Transport: The Kenya Transporters Association (KTA) has advised its members to increase transport rates by 13% to 14%. They noted that diesel now accounts for approximately 55% of their total operating costs, making current rates unsustainable.
- Why the Hike is ImmediateWhile the government reduced VAT and used a stabilisation fund to prevent even higher pump prices, the 24.5% surge in diesel—the primary fuel for public service vehicles—left operators with little choice but to pass the cost to commuters.