The Energy Petroleum Regulator Authority (EPRA) has reduced fuel prices for Super Petrol, Diesel, and Kerosene by Ksh. 1 per liter. Effective immediately, the new prices are:
- Super Petrol: Ksh. 206.36
- Diesel: Ksh. 195.47
- Kerosene: Ksh. 193.23
Reason for Reduction
The price adjustment is due to a decline in the import costs of these fuels. Specifically, the landed cost of Super Petrol decreased by 1.71%, Diesel by 3.08%, and Kerosene by 1.17%.
Cross-Subsidization and Price Stabilization
EPRA has cross-subsidized the price of Diesel with Super Petrol, meaning the higher profits from Super Petrol sales are used to offset the losses incurred on Diesel sales. Additionally, the price of Kerosene has been fully stabilized, preventing further increases.
Compensation for Oil Marketing Companies
Oil Marketing Companies (OMCs) will receive compensation from the Petroleum Development Levy (PDL) Fund for the under-recovery of costs incurred from the cross-subsidization of Diesel and the stabilization of Kerosene prices.
