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Kenya fuel prices rise sharply despite reduction in tax due to Iran war

EPRA said higher global crude, shipping and insurance costs drove the increase, even after Kenya cut value added tax on petroleum to 13%.

  • On Wednesday, April 15, 2026, the Energy and Petroleum Regulatory Authority increased fuel prices, with diesel rising by KSh40.30 to KSh206.84 per litre and petrol by KSh28.69 to KSh206.97 per litre.
  • Escalating international oil prices driven by Middle East geopolitical tensions prompted the surge, as benchmark crude prices have now surpassed $100 per barrel.
  • To cushion consumers, the government reduced Value Added Tax on petroleum products from 16% to 13%, while EPRA confirmed a controversial fuel consignment was excluded from pricing calculations.
  • Nairobi Senator Edwin Sifuna criticized the administration, stating, "We have been told a bunch of open lies about the fuel situation," and blamed President William Ruto for rising costs.
  • These new retail prices will remain in force until May 14, 2026, amid continued global market pressure, while reports of fuel shortages have emerged in some parts of the country.
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Bloomberg broke the news in United States on Tuesday, April 14, 2026.
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