Boom For Tanzanian Fuel Stations Near Kenyan Border

A photo of a petrol attendant fueling a car on February 2020.

Tanzanian petrol stations near the Kenyan border have hiked their fuel prices following an increase in demand by Kenyan motorists.

Kenyan motorists and riders have been trooping to Tanzania through the Sirare border to buy fuel at a cheaper price following the sharp increase in fuel prices announced by the Energy and Petroleum Regulation Authority (EPRA).

In the new fuel prices valid from September 15 to October 14, the cost of petroleum and diesel increased by Ksh7 on average. This would see petroleum retail at Ksh134  while diesel retail at Ksh125  at the pump.

File image of a petrol station
An undated image of a petrol station in Nairobi.

Speaking to a local radio station on Sunday, September 19, Peter Chacha revealed that they had been buying fuel from the neighbouring town after the fuel prices in Kenya went up.

However, the Tanzanian petrol stations along the border began increasing the prices due to the demand. Chacha revealed that a litre of petrol that motorists bought at Ksh109 (Tsh2,300) but is now being sold at Ksh134 (Tsh2,800). 

Before the hike in fuel prices in the Tanzanian petrol stations,  Kenyan motorists got their fuel from the Tanzanian town of Tarime.

Back home, transport costs have increased due to the increase in fuel prices. For instance, motorcycle riders have increased their charges by 50 per cent.

Kenyans have also been flocking to Uganda in search of cheaper fuel.

Motorists from Bungoma and Busia County have been flocking Uganda, where fuel is cheaper by Ksh30. A litre of petrol in the country goes for Ksh110 compared to Ksh140 in the counties.

Despite being landlocked and importing most of its fuel through the port of Mombasa, Uganda boasts of the lowest prices in East Africa as it does not have a fuel price control agency.

Political leaders in the country have come out to castigate the new pump prices stating that they are Kenyans are already burdened by tough economic times.

Parliament summoned Cabinet Secretaries John Munyes (Petroleum) and Charles Keter (Energy) over the elimination of the fuel subsidy that saw pump prices hit historic highs.

An image of a fuel pump at a Nairobi petrol station on July 14, 2021.
An Image of a Fuel pump at a Nairobi Petrol Station on July 14, 2021.