EPRA Reduces Fuel Prices For December-January 2025

The Energy and Petroleum Regulatory Authority (EPRA) has reduced prices of Super Petrol, Diesel, and Kerosene fuel products. This means that Kenyans travelling upcountry for the festive season are set to have it easier on the roads, price-wise.

In its announcement, the regulator announced that the maximum allowed petroleum pump prices for Super Petrol, Diesel, and Kerosene decreased by Ksh4.37 per litre, Ksh3.00 per litre and Ksh3.00 per litre respectively.

During the previous monthly review, Nairobi motorists paid Ksh180.66 for a litre of Super Petrol, Ksh168.06 for a litre of Diesel and Ksh151.39 for a litre of Kerosene.

This monthly review, Nairobi motorists will pay Ksh176.29 for a litre of Super Petrol, Ksh165.06 for a litre of Diesel and Ksh148.39 for a litre of Kerosene.

Fuel watch: New fuel prices as announced by EPRA on December 14, 2024

The prices, announced on Saturday, December 14, take effect at midnight on Sunday, December 15 and last until the new year, Tuesday, January 14, 2025.

"The prices are inclusive of the 16% Value Added Tax (VAT) in line with the provisions of the Finance Act 2023, the Tax Laws (Amendment) Act 2020 and the revised rates for excise duty adjusted for inflation as per Legal Notice No. 194 of 2020," EPRA stated in part.

"The average landed cost of imported Super Petrol decreased by 4.46% from US$641.14 per cubic metre in October 2024 to US$612.53 per cubic metre in November 2024; Diesel increased by 5.76% from US$608.61 per cubic metre to US$643.69 per cubic metre while Kerosene increased by 1.87% from US$648.15 per cubic metre to US$660.30 per cubic metre over the same period."

EPRA went on to explain that the purpose of the petroleum pricing regulations was to cap the retail prices of petroleum products which are already in the country so that importation and other incurred costs are recovered while ensuring reasonable prices to consumers.

"Currently, Kenya imports all its petroleum product requirements in refined form and the products are traded in international markets based on a pricing benchmark," EPRA added.

"Further, the trade of petroleum products in the international markets is denominated in United States Dollars and an exchange rate is applied to convert the dollars to shillings during the computation of local pump prices."

In the November review, the maximum allowed petroleum pump prices for Super Petrol, Diesel and Kerosene remained unchanged. Super Petrol, Diesel, and Kerosene in Nairobi retailed at Ksh180.66, Ksh168.06, and Ksh151.39, respectively.

EPRA’s review comes after the Central Bank of Kenya (CBK), in its weekly bulletin, revealed that international oil prices increased during the week ending December 11.

“The price of Murban oil rose to USD 73.30 on December 11, 2024, from USD 71.86 on December 5, as OPEC+ members agreed to delay production increases that were initially set to begin in January 2025, postponing them until April 2025,” CBK revealed.