{"id":160443,"date":"2026-04-16T15:32:45","date_gmt":"2026-04-16T15:32:45","guid":{"rendered":"https:\/\/www.africa-press.net\/kenya\/all-news\/high-taxes-keep-fuel-prices-elevated-for-kenyans"},"modified":"2026-04-16T16:23:53","modified_gmt":"2026-04-16T16:23:53","slug":"high-taxes-keep-fuel-prices-elevated-for-kenyans","status":"publish","type":"post","link":"https:\/\/www.africa-press.net\/kenya\/all-news\/high-taxes-keep-fuel-prices-elevated-for-kenyans","title":{"rendered":"High Taxes Keep Fuel Prices Elevated for Kenyans"},"content":{"rendered":"
\n

What You Need to Know<\/h4>\n

Kenya’s fuel prices are the highest in the East African Community, largely due to a complex tax structure that accounts for up to 40% of pump prices. Despite a reduction in VAT, the overall costs remain elevated compared to neighboring countries, prompting consumers to seek cheaper alternatives across borders.<\/p>\n<\/div>\n

Africa-Press – Kenya. <\/strong> <\/span>Kenya’s fuel prices remain the highest in the region despite the government’s intervention and port advantage, a market analysis shows.<\/p>\n

The government’s move to cut VAT from 16 per cent to 13 per cent has not had major impacts as the amounts payable remain higher compared to the March-April cycle.<\/p>\n

Kenyan consumers pay a total of nine different taxes and levies, some which have gone up, wiping out gains from other adjustments and price stabilisation moves. Taxes and levies account for up to 40 per cent of the final pump prices.<\/p>\n

Railway Development Levy has gone up to Sh2.05 per litre of petrol from Sh1.43, diesel\u2019s levy has gone up to Sh2.58 from Sh1.57 while RDL on kerosene has jumped to Sh3.32 per litre from Sh1.59.<\/p>\n

Import Declaration Fee (calculated on a percentage of the CIF value (Cost, Insurance, and Freight), has gone up to Sh2.56 from Sh1.79 per litre of petrol, Sh3.22 on diesel from Sh1.97 and Sh4.15 on kerosene up from Sh1.99.<\/p>\n

The VAT reduction has only reduced amount payable on petrol where a litre now attracts Sh24.35 as VAT compared to Sh24.59 in the last cycle.<\/p>\n

Those of diesel and kerosene remain higher at Sh26.55 per litre and Sh30.01, respectively, compared to the last prices where a litre of diesel attracted VAT of Sh22.97 while kerosene was Sh21.07.<\/p>\n

Kenyans also pay excise duty at Sh21.95 per litre of petrol and Sh11.37 on every litre of diesel and kerosene bought.<\/p>\n

Road maintenance levy is charged at Sh25 per litre of petrol and diesel, having gone up from Sh18 during the 2024-25 financial year. It is not charged on kerosene.<\/p>\n

Petrol regulatory levy is at 75 cents per litre of each product bought, anti-adulteration is charged at Sh18 per litre of kerosene, while merchant shipping levy is at Sh0.03 per litre of every petroleum product.<\/p>\n

These taxes and levies pushed up the product costs (landed costs), which were at Sh107.23, Sh133.89 and Sh170.86 for the three products, with other charges being storage and distribution costs.<\/p>\n

This has seen fuel products remain elevated in Kenya compared to key neighbouring East African Community member economies.<\/p>\n

For instance, a litre of petrol is higher by Sh22.47 in Nairobi, where it has gone up to Sh206.97, compared to Kampala (Uganda) where a litre is Sh184.50.<\/p>\n

Diesel in Kampala is cheaper by Sh29, retailing at Sh177.17 compared to Nairobi\u2019s Sh177.17, even as Uganda\u2019s fuel products are shipped through Kenya.<\/p>\n

In Tanzania, consumers in Dar es Salaam are buying a litrer of petrol and diesel at an equivalent of Sh190.19 and Sh189.49, respectively, compared to Kenya\u2019s cheapest point of Mombasa, where prices are above the 200 mark, at Sh203.69 and Sh203.56, respectively.<\/p>\n

The two port cities have proximity to the sea hence enjoy cheaper fuel prices compared to inland destinations where delivery costs add up to final pump prices.<\/p>\n

In Kenya\u2019 far-flung regions such as Mandera have seen pump prices rise to a historic Sh229.15 on petrol and Sh 229.02 for diesel.<\/p>\n

Prices in Tanzania\u2019s inland regions of Mara, Mwanza, Tarime and Kigoma also enjoy cheaper perices compared to Kenya, averaging Sh199.23.<\/p>\n

In Rwanda, a litre of petrol is at an equivalent of Sh203.09 while desel is going for Sh194.45 per litre, still above Kenyan prices.<\/p>\n

\u201cWe are crossing to fuel in Tanzania,\u201d Mathias Mogaya, a resident of Isebania, Kenyan border with Tanzania in Migori county, told the Star.<\/p>\n

A similar pattern is also seen at the Busia, Malaba and Namanga borders as Kenyans seek cheaper products from neighbouring countries.<\/p>\n

The Energy and Petroleum Regulatory Authority (EPRA) has pegged the latest price jumps to increases in import costs and global crude prices, which have been impacted by the Middle East crisis.<\/p>\n

According to EPRA acting director general Joseph Oketch, the average landed cost of imported super petrol increased by 41.53 per cent from $582.11 (Sh75,237 ) per cubic metre in February 2026 to $823.87 (Sh106,485) per cubic metre in March 2026.<\/p>\n

\u201cDiesel increased by 68.72 per cent from $636.45 per cubic metre to $1073.2 per cubic metre while Kerosene increased by 105.15 per cent from $639.48 per cubic metre to $1311.93 per cubic metre over the same period,\u201d Oketch said in a statement.<\/p>\n

The government\u2019s move to absorb costs on kerosene, to cushion poor households from the key lighting and cooking product, has hence seen Kenya remain with the cheapest kerosene prices compared to her neighbours.<\/p>\n

A litre is retailing at Sh152.78 in Nairobi compared to Uganda\u2019s average of Sh164.64 and Tanzania\u2019s Sh185.<\/p>\n

In order cushion consumers from the high landed cost of petroleum products as a result of the escalated prices in the international market, EPRA said the government will further cushion the consumers through the Petroleum Development Levy (PDL) Fund.<\/p>\n

This is by utilising approximately Sh6.2 billion to stabilise the pump prices, meaning Kenyans could be paying even higher prices compared to their neighbours, where low taxes have traditionally kept pump prices low.<\/p>\n

Kenya’s fuel pricing has been a contentious issue, influenced by various taxes and levies imposed by the government. These taxes, including excise duties and import fees, have steadily increased over the years, contributing significantly to the final retail prices of fuel. The government’s recent VAT reduction has had minimal impact, as other levies have risen, maintaining high costs for consumers.<\/p>\n

Historically, fuel pricing in Kenya has been affected by global oil market fluctuations and local economic policies. The East African Community’s integration has highlighted disparities in fuel pricing among member states, with Kenya often facing higher costs due to its tax regime. This has led to<\/p>\n

Find more news and analyses on Kenya<\/span> on the Africa Press<\/span> website<\/p>\n","protected":false},"excerpt":{"rendered":"

What You Need to Know Kenya’s fuel prices are the highest in the East African Community, largely due to a complex tax structure that accounts for up to 40% of pump prices. Despite a reduction in VAT, the overall costs remain elevated compared to neighboring countries, prompting consumers to seek cheaper alternatives across borders. Africa-Press […]<\/p>\n","protected":false},"author":84,"featured_media":160441,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,5],"tags":[1426,1608,472,544,5229],"class_list":["post-160443","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-news","category-economy","tag-cost-of-living","tag-eac","tag-fuel-prices","tag-kenya","tag-taxation"],"yoast_head":"\nHigh Taxes Keep Fuel Prices Elevated for Kenyans - kenya<\/title>\n<meta name=\"description\" content=\"Kenya's fuel prices remain the highest in the EAC due to multiple taxes, despite government efforts to lower VAT.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.africa-press.net\/kenya\/all-news\/high-taxes-keep-fuel-prices-elevated-for-kenyans\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"High Taxes Keep Fuel Prices Elevated for Kenyans\" \/>\n<meta property=\"og:description\" content=\"Kenya's fuel prices remain the highest in the EAC due to multiple taxes, despite government efforts to lower VAT.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.africa-press.net\/kenya\/all-news\/high-taxes-keep-fuel-prices-elevated-for-kenyans\" \/>\n<meta property=\"og:site_name\" content=\"kenya\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/AfricaPressTunisiaa\" \/>\n<meta property=\"article:published_time\" content=\"2026-04-16T15:32:45+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2026-04-16T16:23:53+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/static.africa-press.net\/kenya\/sites\/28\/2026\/04\/sm_1776356514.263906.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1198\" \/>\n\t<meta property=\"og:image:height\" content=\"640\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"cfeditoren\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"cfeditoren\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"5 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/high-taxes-keep-fuel-prices-elevated-for-kenyans#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/high-taxes-keep-fuel-prices-elevated-for-kenyans\"},\"author\":{\"name\":\"cfeditoren\",\"@id\":\"https:\/\/www.africa-press.net\/kenya\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb\"},\"headline\":\"High Taxes Keep Fuel Prices Elevated for Kenyans\",\"datePublished\":\"2026-04-16T15:32:45+00:00\",\"dateModified\":\"2026-04-16T16:23:53+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/high-taxes-keep-fuel-prices-elevated-for-kenyans\"},\"wordCount\":999,\"commentCount\":0,\"image\":{\"@id\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/high-taxes-keep-fuel-prices-elevated-for-kenyans#primaryimage\"},\"thumbnailUrl\":\"https:\/\/static.africa-press.net\/kenya\/sites\/28\/2026\/04\/sm_1776356514.263906.jpg\",\"keywords\":[\"Cost of Living\",\"EAC\",\"Fuel Prices\",\"Kenya\",\"taxation\"],\"articleSection\":[\"all news\",\"economy\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.africa-press.net\/kenya\/all-news\/high-taxes-keep-fuel-prices-elevated-for-kenyans#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/high-taxes-keep-fuel-prices-elevated-for-kenyans\",\"url\":\"https:\/\/www.africa-press.net\/kenya\/all-news\/high-taxes-keep-fuel-prices-elevated-for-kenyans\",\"name\":\"High Taxes Keep Fuel Prices Elevated for Kenyans - 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