The Energy & Petroleum Regulatory Authority (EPRA) has announced a marginal decrease in the maximum retail prices of petroleum products for the period from Wednesday to 14th June 2024.

This adjustment, in accordance with Section 101(y) of the Petroleum Act 2019 and Legal Notice No.192 of 2022, reflects changes in the landed costs of fuel imports and revised tax provisions.

Consumers will benefit from a reduction of Sh1.00 per litre for Super Petrol, Sh1.20 per litre for Diesel, and Sh1.30 per litre for Kerosene.

These new prices include a 16 per cent Value Added Tax (VAT), as stipulated by the Finance Act 2023, the Tax Laws (Amendment) Act 2020, and the inflation-adjusted excise duty rates under Legal Notice No. 194 of 2020.

While there's a price decrease for consumers, the underlying data on import costs paints a different picture.

The average landed cost of imported Super Petrol actually increased by 3.82 per cent from US$737.69 per cubic metre in March 2024 to US$765.87 per cubic metre in April 2024.

Diesel prices saw a marginal decline of 0.46 per cent (US$722.51 to US$719.21 per cubic metre), while Kerosene experienced a slight increase of 0.50 per cent (US$725.31 to US$728.97 per cubic metre) over the same period.

These price changes highlight the dynamic nature of the global petroleum market and its direct impact on local fuel pricing.

The adjustments aim to balance the interests of consumers and stakeholders in the petroleum sector while adhering to legislative requirements and economic conditions.