Matatu operators have announced immediate fare increases following the latest fuel price hike by the Energy and Petroleum Regulatory Authority (EPRA), raising concerns over higher transport costs and the potential impact on businesses and household budgets.
Matatu owners’ association boss Albert Karakacha announced the fare adjustments on October 15, condemning the latest price increases and urging President William Ruto to honour his pledge to keep diesel prices in Mombasa low.
The move comes as the Motorists Association of Kenya (MAK) intensifies pressure on the government and EPRA over the new petroleum prices, which took effect on October 15 and will remain in force until November 14, 2026.
In a statement issued under newly appointed Director General Eng. Edward Mwirigi Kinyua, MAK questioned the disparity between increases in fuel import costs and the changes in pump prices.
According to the association, landed costs rose by 11.81 per cent for petrol, 11.32 per cent for diesel and 9.41 per cent for kerosene.
However, pump prices increased by 6.04 per cent for petrol, 4.54 per cent for diesel and 14.89 per cent for kerosene.
The association questioned why kerosene recorded the highest pump-price increase despite having the lowest rise in landed costs, calling on EPRA to publish a detailed breakdown of its pricing calculations.
MAK acknowledged that taxes, levies, transportation expenses and stabilisation adjustments influence retail fuel prices but demanded greater transparency in how the latest rates were determined.
The association also called for an independent audit of the Government-to-Government (G-to-G) fuel import arrangement to establish whether it delivers savings compared with competitive procurement.
It further demanded the publication of petroleum pricing worksheets and a review of taxes and levies.
The dispute threatens to increase operating costs for public transport operators, businesses that depend on road freight and traders transporting goods across the country.
Higher transport expenses could ultimately push up the prices of essential commodities, adding pressure on consumers already grappling with the cost of living.
MAK also challenged the government’s explanation that the kerosene price increase was partly intended to narrow the price gap between kerosene and automotive fuels to discourage fuel adulteration.
The association warned that it could mobilise motorists, transport operators, traders, farmers and other stakeholders for peaceful demonstrations if the government and EPRA failed to address its concerns.
The latest developments place renewed focus on fuel pricing, procurement costs and taxation, with businesses and consumers likely to feel the effects through higher transport fares and potentially rising prices of goods and services.
