FUEL PRICES HIKE IN KENYA WITH NO FORESEEABLE REPRIEVE

 The 9 shilling fuel price increment in Kenya adds on to the financial and economic woes of Kenyans in the background of the global supply chain challenges and general increase in fuel price and global economic uncertainty. Kenyans are now finding it difficult coping and keeping up with the high cost of living in the country.

The relatively high cost in Kenya was linked to taxes and levies. There are seven levies and two taxes that Energy petroleum regulation authority takes into account when setting fuel prices, which have been blamed for the high cost of petroleum products.

Even if the Gasoline prices are determined largely by the laws of supply and demand. Gasoline prices cover the cost of acquiring and refining crude oil as well as distributing and marketing the gasoline, in addition to state and federal taxes. It is imperative that the government of Kenya reconsiders investing in fuel refineries in Kenya.

With this unprecedented increase in the price of fuel just announced by the Energy authority, the cost is transferred on the end consumer with expected fare hikes often for long distance travel and more increases in the cost of commodities which will be a long resounding legacy of the Jubilee government even as we look forward to transition to a new government which is most likely to carry on the same trend with no reprieve in the foreseeable future.