The Ministry of Energy and Petroleum attributed the latest increase in fuel prices to sustained volatility in the global oil market caused by the ongoing conflict in the Middle East, saying Kenya remains vulnerable as a net importer of petroleum products.
In a statement issued Friday, Cabinet Secretary for Energy and Petroleum Opiyo Wandayi said geopolitical tensions in the region had disrupted global energy markets, resulting in a sharp rise in international crude oil prices, increased freight and supply chain costs, and uncertainty in petroleum product availability worldwide.
According to the Ministry, the average landed cost of imported Super Petrol rose from USD 823.27 per cubic metre in March 2026 to USD 906.23 in April 2026, representing a 10 per cent increase. Diesel recorded the steepest rise, increasing by 20.32 per cent from USD 1,073.82 to USD 1,291.98 per cubic metre during the same period. Kerosene rose marginally by 1.59 per cent from USD 1,311.93 to USD 1,332.73 per cubic metre.
The Government said the prices of Super Petrol and Diesel had been adjusted to reflect prevailing global market conditions, exchange rate pressures, and increased supply chain costs. However, it maintained Kerosene prices at current levels through targeted support measures aimed at cushioning vulnerable households that depend on the commodity for domestic use.
To ease the burden on consumers and the wider economy, the Government said it had utilized the Petroleum Development Levy stabilization mechanism to cushion Diesel and Kerosene prices during the current review cycle.
Approximately KSh 5 billion was applied to moderate the extent of the increases while maintaining stability in the petroleum supply chain.
The Ministry further cited several policy interventions aimed at mitigating the impact of global price shocks, including the reduction of VAT on petroleum products from 16 per cent to 8 per cent. It also defended the Government-to-Government fuel importation framework, saying the arrangement had shielded Kenya from escalating global freight and premium charges.
According to the Ministry, global spot freight and premium rates for petroleum cargoes have more than doubled amid the ongoing uncertainty in international markets, while insurance premiums have also risen sharply due to instability around the Strait of Hormuz.
The Government said supply and demand imbalances continue to fuel volatility and limit the availability of petroleum cargoes globally, but maintained that Kenya was benefiting from fixed freight and premium costs secured under the G-to-G arrangement.
The Ministry assured Kenyans that the country currently has adequate petroleum stocks and that the Government was closely monitoring developments in the international oil market. It added that consultations were ongoing with stakeholders in the energy, transport, manufacturing and business sectors to identify practical measures to reduce the impact of rising fuel costs on consumers.
The Government also warned against exploitative practices by traders during the period of uncertainty, urging vigilance to ensure consumers are not subjected to unjustified price hikes.
While acknowledging that no country is fully insulated from global geopolitical and energy market disruptions, the Ministry reiterated its commitment to ensuring stable and uninterrupted supply of petroleum products while implementing targeted interventions to cushion consumers from excessive price shocks.
“The Government remains steadfast in its commitment to delivering reliable, accessible and affordable energy in support of economic growth, job creation and improved livelihoods for all Kenyans,” the statement said.
On his part Law Society of Kenya Charles Kanjama criticised the latest fuel price adjustments announced by the Energy and Petroleum Regulatory Authority, warning that the sharp rise in diesel prices will worsen the cost of living crisis and place additional strain on households and businesses across the country.
Kanjama said the Sh46.29 increase in diesel prices would have far-reaching consequences because diesel remains central to transport, food production and commercial activity.
He noted that the inflationary impact of the adjustment would be felt across the economy, particularly among ordinary Kenyans already struggling with high living costs.
According to the LSK president, the increase is likely to raise the cost of public transport, food distribution and essential services, thereby intensifying pressure on vulnerable households and small businesses.
While acknowledging that global instability and supply disruptions in the Persian Gulf continue to affect international energy markets, Kanjama argued that the Government still bears a constitutional obligation under Article 201 to ensure that public finance promotes an equitable society.
He maintained that fuel pricing decisions cannot be separated from their broader social and economic consequences, especially at a time when many Kenyans are facing economic hardship.
Kanjama further recognised the Government’s Sh5 billion subsidy under the Petroleum Development Levy but said additional intervention and transparency were still necessary.
He criticised what he termed as growing reliance on petroleum taxation and levies as a major source of revenue without sufficient accountability, openness and meaningful public participation as required under the Constitution.
He called on the Government to urgently introduce further measures to cushion vulnerable sectors, strengthen oversight against price exploitation and ensure that public policy and revenue generation remain anchored in equity, social protection and economic justice.
Email your news TIPS to Editor@Kahawatungu.com — this is our only official communication channel
