Author: FREDRICK OBURA
AfricaPress-Kenya: Diesel price will go down midnight while petrol will retail higher by Sh0.72 per litre in a new review by the Energy and Petroleum Regulatory Authority (EPRA).
Kerosene users will not be affected by the monthly change in fuel prices as no cargo was discharged at the port of Mombasa between September 10 and October 9 which is the pricing period.
Following the announcement, the retail price of super petrol will from midnight go up to Sh107.27 per litre in Nairobi over the next one month up from Sh106.55. Diesel will retail at Sh92.91 per litre in Nairobi down from Sh95.09 previously.
Kerosene’s price will remain at Sh83.73 per litre.
While prices of oil went down in September when in comparison to August prices, the shilling weakened and contributed to the retention of the high pump prices locally.
In September, oil traded at Sh4 753 ($42.35) per barrel on average from Sh4 939 ($45.74) in August, the shilling weakened against the dollar to Sh108.6, according to the data Epra used on computing prices it published on Wednesday.
“The Free on Board (FO) price of Murban crude oil lifted in September was posted at Sh4 753 ($42.35) per barrel, a decrease of 7.41 per cent from Sh4 939 ($45.74) per barrel in August 2020,” said Epra.
“Over the same period, the mean monthly US Dollar to Kenya Shillings exchange rate depreciated by 0.62 per cent from Sh107.93 per US Dollar in August to Sh108.9 per US Dollar in September 2020.”
“The price of kerosene remains unchanged since no cargo was discharged at the port of Mombasa between September 10 and October 9, which is the pricing period defined by the Legal Notice No. 26 of 2012.”
Fuel prices went up at the beginning of this month after the Kenya Revenue Authority increased the excise duty charged on petroleum products. In a review of the price capping guide issued mid-September, Epra early this month increased the retail price of super petrol by Sh1, and while that of diesel and kerosene went up by 50 cents respectively.
KRA reviewed excise duty rates on a range of products including petroleum products to take into account inflation, pegged at an average rate of 4.96 per cent over the 2019/20 financial year.