Ruto assures on fuel supply as fare hikes bite commuters

President William Ruto assured Kenyans that the country has sufficient fuel stocks, even as transport operators across the country implement sharp fare increases following a rise in pump prices.

Speaking in South Mugirango on Wednesday, Ruto announced a Sh6.5 billion subsidy aimed at cushioning consumers from escalating global fuel costs.

“The subsidy will ensure that prices remain manageable and that Kenyans do not bear the full weight of global increases,” he said.

The President also revealed that the government has reduced Value Added Tax (VAT) on petroleum products in a bid to ease pressure on households and businesses already grappling with high living costs.

“These combined interventions are expected to stabilise the transport sector and prevent a ripple effect on the cost of goods and services,” he added.

Ruto defended the government’s fuel strategy, highlighting the Government-to-Government (G-to-G) fuel import framework as a key intervention that has helped stabilise supply.

“Through strategic planning and decisive action, we have secured a Government-to-Government fuel arrangement that has proven to be a lifeline for our country,” he said.

The G-to-G model allows Kenya to import fuel through direct state agreements, reducing reliance on volatile global markets and ensuring a steady supply.

“While other countries were struggling, we took a different path. Today, several nations are looking at Kenya to understand what we did right,” Ruto added.

Despite these assurances, commuters are already feeling the pinch. Public transport fares have risen in major towns including Nairobi, Mombasa, Kisumu, and Kisii, with some routes recording significant increases.

In parts of Kisii County, fares have reportedly doubled, while operators on routes such as Kisii–Kisumu have raised charges from Sh700 to Sh800.

Transport operators say the hikes are unavoidable due to rising fuel costs.

“Fuel is our biggest cost. Every time prices go up, we are forced to review fares just to stay in business,” said John Mogire, a matatu driver operating along the Kisii–Kisumu route.

The latest increase in fuel prices follows a review by the Energy and Petroleum Regulatory Authority, which attributed the adjustment to rising global oil prices and a weakening Kenyan shilling.

The fare hikes are expected to trigger a broader increase in the cost of living, as transport costs directly impact the prices of goods and services nationwide.