The Energy & Petroleum Regulatory Authority (EPRA) has increased super petrol retail price by Ksh2 and retained the current prices for diesel and kerosene for the period between March 15, 2023, and April 14, 2023.
As a result, the retail price for a litre of petrol will be Ksh179.30 while a litre of diesel and kerosene will retail at Ksh162 and Ksh145.94 in Nairobi, respectively.
“The prices are inclusive of the 8% Value Added Tax (VAT) in line with the provisions of the Finance Act 2018, 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 said in a statement on Tuesday, March 14, 2023.
The average landed cost of imported super petrol decreased by 0.06% from US$659.87 per cubic metre in January 2023 to US$659.47 per cubic metre in February 2023 while diesel decreased by 2.52% from US$779.49 per cubic metre to US$759.88 per cubic metre. Kerosene decreased by 1.51% from US$774.99 per cubic metre to US$763.28 per cubic metre.
Petrol and kerosene subsidy
The price of diesel has been cross-subsidized with that of super petrol while a subsidy of Ksh23.49 per litre has been maintained for kerosene.
The government will utilise the Petroleum Development Levy to compensate oil marketing companies for the difference in cost.
The Free On board (FOB) price of Murban crude oil lifted in February 2023 was posted at US$ 80.11 per barrel, a decrease of 11.87% from US$ 90.90 per barrel in January 2023.
Over the same period, the mean monthly US Dollar to Kenya Shilling exchange rate depredated by 2.56% from Ksh130.64 per US$ in January 2023 to Ksh133.98 per US$ in February 2023.
