Fuel prices projected to rise by Sh8 average in next review » Capital News

NAIROBI, Kenya, Sep 10- Motorists are set to dig deep in their pockets as fuel prices are expected to skyrocket by Sh7.99 in the latest prices review to be released for the period September 15 and  October 14.

A brief from the Energy Petroleum and Regulatory Authority (EPRA) seen exclusively by Capital Business shows the rise in the pump prices in the coming review will be largely affected by platts and demurrage bills.

“We are going to see the prices go since the platts went up, demurrage bills also billed and we are also expecting another hike in October,” a statement from the source who requested anonymity revealed.

As such, Super petrol will retail at Sh135.13 in Nairobi while prices of Diesel and Kerosene will cost Sh115.95 and Sh111.27 respectively.

The prices had remained unchanged for a period of two months as a result of retention of the fuel costs by EPRA.

The retention was despite the landing cost for petrol, diesel, and kerosene that had increased in that period by an average of 7.8 percent.

In June crude prices soared to the highest levels in three years as a result of production cuts by Organization of the Petroleum Exporting Countries (OPEC) nations and COVID-19 vaccine rollout in different countries that spark anger among Kenyans.

This saw the National Treasury setting aside Sh1.4 billion for the operations of the fuel price stabilization mechanism in the second 2020/21 supplementary budget estimates.

However, EPRA had previously linked the expensive fuel to the recovery in crude oil prices.