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Government Cites Global Market Pressures for July Fuel Price Surge

Date:

NAIROBI, Kenya-The Ministry of Energy and Petroleum has moved to clarify the reasons behind the latest increase in fuel prices, distancing the government from claims that the adjustment is tied to the securitization of the Road Maintenance Levy.

In a statement issued on Monday, the Ministry explained that the latest price review, effective July 15 to August 14, 2025, was based on global petroleum market dynamics and calculated using the Petroleum (Pricing) Regulations, 2022.

The pricing cycle factored in five shipments: two for Super Petrol, two for Diesel, and one for Jet fuel, all delivered between June 10 and July 9, 2025.

The cost basis for these consignments was the June 2025 international benchmark, as published by S&P Global Platts.

Energy and Petroleum Cabinet Secretary Opiyo Wandai emphasized that the final pump prices reflect several cost components, including the landed cost, applicable taxes, storage and distribution fees, and industry margins.

“The only changes as seen in the tables are due to the changes in ad valorem taxes, Railway Development Levy (RDL) and Import Declaration Fee (IDF), which depend on the Cost Insurance Freight (CIF) of the products,” he said.

While acknowledging that the Road Maintenance Levy was revised in 2024 to KSh 25 per litre, the Ministry insisted that there have been no further tax adjustments impacting the current pricing. The statement also highlighted the government’s past interventions to cushion consumers from global price volatility.

“It is therefore mischievous and factually incorrect to link the recent increase in pump prices with the securitization of the road maintenance levy.”

The government reiterated its commitment to price transparency and protecting consumers from undue economic hardship

EPRA had in its latest monthly review on Monday, revised upwards the price of fuel

In the new pricing structure, the cost of Super Petrol has increases by Sh8.99 per litre, Diesel by Sh8.67per litre, and Karosene by Sh9.65 per litre.

Super Patrol rose by 6.45%, from $590.24 (Sh76,731) per cubic metre in May 2025 to $628.30 (Sh81,760) in June 2025.

Phidel Kizito
Phidel Kizito
Phidel Kizito Odhiambo is a seasoned journalist and communications professional with over five years’ experience in storytelling across Kenya’s top newsrooms, including Capital FM, Standard Media, and Jedca Media. Skilled in digital journalism, strategic communications, and multimedia production, he excels at crafting impactful narratives on an array of beats, including business, tech, and sustainability.

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