In more than a decade, motorists in Kenya can enjoy the lowest fuel prices across the country.
Following Energy and Petroleum Regulatory Authority (EPRA) May review of fuel prices, diesel went down by almost Ksh20 per litre.
Diesel prices will now retail at about Ksh75 -Ksh79 per litre in Nairobi and Mombasa while petrol reduced by Ksh9.9 per litre to retail at Ksh83.33 per litre.
In a statement during the review on Thursday, EPRA said that the huge decrease in fuel prices was occasioned by changed into VAT ordered by President Uhuru Kenyatta in March.
The authority said it was in line with the Tax Laws (Amendment) Act of 2020 where VAT on all petroleum products has been reduced.
“The changes in this month’s prices are as a consequence of the average landed cost of imported super petrol decreasing by 38.94 per cent for US$309.03 per cubic metre in March 2020 to US$188.07 per cubic metre in April,” EPRA said in a statement.
The cost of living is set to go lower with the drop in fuel prices and also that of electricity which is determined by the prices of diesel in the market.
However, even as the cost of fuel goes down, fares remain the same with operators saying that they have nothing much to gain with a drop in fuel as their vehicles are either not operating or carrying just 50% of the capacity due to COVID-19 pandemic.