NAIROBI, Kenya – Kiharu MP Ndindi Nyoro’s People’s Party of Kenya (PPK) has proposed cutting petrol prices by Sh29 per litre and introducing a Sh5.5 billion fuel subsidy following the latest pump price increases announced by the Energy and Petroleum Regulatory Authority (EPRA).
The party wants petrol prices reduced from Sh226.96 to Sh197.96 per litre and diesel from Sh227.76 to Sh198.77, arguing that rising fuel costs are placing additional pressure on households and businesses.
In a statement on Saturday, October 17, PPK criticised the latest increases, saying the government’s decision was insensitive at a time when Kenyans were already facing a high cost of living.
“It is insensitive for the government to have announced such hikes in fuel prices,” the party said.
It warned that rising fuel costs were worsening the economic burden on households and businesses, citing inflation of 6.8 per cent.
“The current trend is already unbearable,” PPK said, calling for urgent interventions to cushion consumers and the wider economy.
PPK Proposes Three Measures To Cut Fuel Prices
The party has proposed three immediate interventions: reducing importers’ and distributors’ margins by Sh10 per litre, introducing a Sh5.5 billion subsidy for petrol and diesel, and scrapping the Sh7 fuel levy introduced in 2024.
According to PPK’s calculations, the subsidy would lower pump prices by about Sh12 per litre. Combined with the proposed reduction in industry margins and removal of the levy, the measures would bring petrol prices down to Sh197.96 and diesel to Sh198.77 per litre.
The party said its proposed prices did not factor in any reduction in value-added tax (VAT).
PPK also challenged the cost figures used in fuel pricing, claiming that the landed cost of diesel had fallen from Sh167 per litre in May to Sh138.21 in the latest pricing cycle.
“Diesel landing cost is lower than in May at Sh138 now vs Sh167 in May, a 17 per cent decrease, yet there is an increase in prices,” the party said.
It further claimed that importers’ margins had risen by Sh2.16 per litre, describing the reported 12 per cent increase during the current crisis as “plainly unacceptable.”
EPRA Cites Higher International Petroleum Costs
EPRA, however, attributed the latest pump price increases to higher international costs for imported petroleum products, including an increase in the landed cost of petrol.
The new prices apply from October 15 to November 14, 2026.
The contrasting explanations from PPK and EPRA place the cost components of fuel pricing at the centre of the debate, with the party calling for reductions in industry margins and government levies while the regulator points to higher import costs.
Party Wants Government-To-Government Fuel Deal Ended
Beyond immediate price cuts, PPK has called for the termination of the government-to-government fuel supply arrangement, arguing that the market should be allowed to operate under competitive pricing.
The party also wants the government to publish the investment agreement involving the Dangote East African Petroleum Refinery and disclose the refinery’s shareholding structure.
It further cautioned government officials against interfering with Turkana oil, although the statement did not provide further details on the alleged interference.
