A litre of diesel and petrol have gone up by Sh46 and Sh16, respectively Manufacturers and traders have raised alarm over the latest fuel price increase, warning that ordinary Kenyans and businesses will bear the full weight of soaring transport and production costs in the coming weeks.
The concerns follow Thursday’s announcement by the Energy and Petroleum Regulatory Authority (EPRA), which pushed the price of diesel up by Sh46.29 per litre to Sh242.92 in Nairobi, while super petrol rose by Sh16.65 to Sh214.25 per litre for the pricing cycle ending June 14.
Business lobby groups say the sharp jump in diesel prices poses the biggest threat to the economy because diesel powers transport, agriculture, manufacturing, logistics, construction, and trade. The Kenya National Chamber of Commerce and Industry (KNCCI) warned that the increase will significantly raise the cost of moving goods, producing commodities, and delivering services, ultimately pushing up the cost of living for households already struggling with high prices.
“The current fuel increase is not just an energy issue; it is an economy-wide shock,” the chamber said in a statement, urging the government to move quickly to cushion consumers and businesses. KNCCI acknowledged that global oil market disruptions linked to geopolitical tensions in the Middle East have contributed to rising prices.
However, it argued that domestic taxes, levies, and other local costs are worsening the situation in Kenya. According to the chamber, while global crude oil prices increased by about 10.7 per cent between April and May, Kenya’s diesel price jumped by 23.5 per cent over the same period.
The latest EPRA review shows diesel recording the steepest rise among petroleum products, climbing from Sh196.63 in April to Sh242.92 in May. Petrol increased from Sh197.60 to Sh214.25, while kerosene remained unchanged at Sh152.78. Since January, petrol prices have risen by 17.4 per cent, while diesel prices have surged by 42.5 per cent, confirming what KNCCI termed a “diesel-led fuel shock” with far-reaching economic consequences.