Mining and Petroleum Cabinet Secretary John Munyes on Wednesday, March 31 warned Kenyans to brace themselves for higher fuel prices in the coming months.
The CS who was addressing the Senate Energy Committee said that there would be no relief from the Energy and Petroleum Regulatory Body (EPRA) review prices due to higher taxes and levies.
“Kenya charges the highest taxes on fuel regionally. Taxes and levies are the biggest contributors to the prices. As global oil prices escalate we expect the prices in Kenya to increase,” Munyes said.
Munyes also added that there was little his ministry could do about the rising prices of fuels in the country.
Narok Senator Ledama Ole Kina disagreed with the CS saying that the Senate was responsible for the rising fuel prices which are hurting Kenyans given its close relation to prices of other commodities.
“As a Senate, we have failed to regulate the taxes being charged, the Kenyan population cannot be burdened with this,” Ledama said.
In his defense, the CS said that EPRA was developing a regulation mechanism in which the Petroleum Consolidated Fund would be operationalised in a bid to stabilise fuel prices in the future.
According to the CS, the government was planning to task the National Oil with the mandate of storing fuel so that the government buys it when the prices have gone down.
EPRA’S latest review that was announced in March saw the highest prices ever witnessed in Kenya in over a decade.
Kenyans led by the Central Organization of Trade Union (COTU) and other politicians came together to condemn the hiked prices but there were no substantial changes from the government.
A spot check by Kenyans.co.ke revealed that Kenya was charging the highest prices of fuel when compared to Tanzania and Uganda.
Motorists from Kenya have since been reported to be driving to the borders to fuel their cars as Kenyan prices remain unaffordable.
The new EPRA fuel price reviews are expected to be released in about two weeks.
