Motorists smile temporarily as energy regulator slashes fuel prices
Motorists will for the next one month breathe a sigh of relief after the Energy and Petroleum Regulatory Authority (EPRA) on Monday announced a drop in price of petroleum products effective from October 15 to November 14, 2019.
Having taken into account the weighted average cost of imported refined petroleum products, EPRA reduced the maximum allowed petroleum pump prices across the country, compared to the previous period.
“The changes in the maximum allowed petroleum pump prices in Nairobi are as follows: Super Petrol and Diesel decrease by KSh 4.76 per litre and KSh 1.08 per litre respectively,” the energy regulator’s statement reads in part.
However, the price of kerosene was increased by Sh 0.44 per litre, compared to the previous period.
According to EPRA, the changes in prices have been as a consequence of the average landed cost of imported Super Petrol that decreased by 7.66% from the US$ 497.36 per cubic metre in August 2019 to US$459.27 per cubic metre in 2019.
Diesel on the other hand decreased by 2.32% from US$ 503.61 per cubic metre from US$ 491.94 per cubic metre in September 2019.
The pump prices are inclusive of 8% Value Added Tax (VAT) in line with the provisions of the Finance Act 2018 and the revised rates for excise duty adjusted for inflation as per Legal Notice No. 109 of 9th July 2019.
EPRA has attributed the changes in prices to the average landed cost of imported Super Petrol which decreased by 7.66% between August and September 2019.