NAIROBI, Kenya- In a recent move to support Kenya’s growing road infrastructure needs, the Committee on Delegated Legislation has approved an increase in the road maintenance levy, raising it by Sh10 to Sh28 per liter for both petrol and diesel.
While the decision, led by Ainabkoi MP Samuel Chepkong’a, aims to generate additional funds for road upkeep, it has sparked discussions over potential impacts on fuel prices and living costs.
The levy increase, the first since 2016, is expected to significantly contribute to the road maintenance fund, which currently collects around Sh80 billion annually.
With Kenya’s road network having expanded from 161,451 kilometers in 2016 to 239,122 kilometers in 2024, the Ministry of Roads says that extra revenue is essential to cover rising maintenance costs.
Despite the concerns, the Ministry has assured that the price of fuel will not be impacted by the levy increase.
State Department of Roads Principal Secretary Joseph Mbugua explained that the government strictly regulates retail petroleum prices based on import costs.
“Given the expanded road network and current economic conditions, we need this revision to ensure our roads are properly maintained,” Mbugua stated.
However, not all lawmakers are convinced that the levy increase will avoid trickling down to consumers.
Hon. Gichimu, echoing Chepkong’a’s reservations, cautioned that any rise in fuel prices would burden Kenyans with higher transportation and goods costs.
“Increasing the levy during these tough times could lead to undesirable cost increases,” Gichimu emphasized.
He highlighted that even a slight change in fuel prices can have a ripple effect on essential goods and overall living expenses, impacting Kenyans across all income brackets.
Chepkong’a also voiced concerns over the timing, stressing that the committee’s approval hinged on ensuring no hike in retail fuel prices, a promise made by the Ministry to protect consumers during a challenging economic period.
Kenya’s road network is vital to both domestic and international trade, and its maintenance requires sustained funding.
The increased levy is intended to secure this funding, albeit carefully balanced with the goal of shielding citizens from increased costs.
As Kenya’s economy and infrastructure needs evolve, the government must weigh funding requirements with economic realities, making tough decisions to maintain growth while minimizing public impact.
The approval of the levy increase represents Kenya’s commitment to infrastructure development, even amid financial challenges.
But with legislators’ concerns about inflationary effects, the Ministry will likely face ongoing scrutiny to ensure these promises hold.
