Kenyans voice fury over fuel price hike - Capital Business
Connect with us

Hi, what are you looking for?

COURTESY

Kenya

Kenyans voice fury over fuel price hike

NairobiKenya, Sept 16 – Kenyans voiced fury Thursday at a jump in fuel prices, which threaten to pile on the misery for a population already suffering economic hardship because of the Covid-19 pandemic.

Fuel prices are now at record levels after the country’s energy regulator this week put an end to subsidies on petrol, diesel and kerosene that were introduced earlier this year to ease anger over the surging cost of living.

The East African economic powerhouse has suffered huge job losses as gross domestic product shrank last year for the first time in three decades, with Covid-19 battering usually strong sectors like tourism.

The scrapping of the subsidies, which took effect on Wednesday, increased the price of petrol in Nairobi by about six percent to a maximum of almost 135 shillings (about $1.2 or 1.0 euro) a litre.

And the cost is set to rise further with the introduction of a near five percent excise duty on fuel from October 1.

“The increase in fuel is just ridiculous, it shows that the government is not in touch with the reality on the ground, how do they want us to survive,” said James Mwangi, 42, a second-hand car dealer in Nairobi.

“Any increase in fuel prices means an increase in many other things.”

Mercilyne Njeri, 35, who works at a 5-star hotel in Nairobi, says she is already trying to survive on 60 percent of her usual salary.

“The government is not realistic, you cannot increase fuel prices at a time we are suffering from tough economic times brought about by Covid-19 challenges.”

Advertisement. Scroll to continue reading.

 

– ‘We can’t breathe’ –

 

The Consumers Federation of Kenya (Cofek) warned of a huge hit on the economy -– “high cost of production, surge in food prices, transport and overall, a higher cost of living”.

“The foreign direct investments as well as consumer purchasing power will be driven south for a struggling economy reeling under the Covid-19 pandemic,” it said in a statement Wednesday.

Kenyan consumers pay several taxes on fuel, which account for the vast bulk of the price charged by pump operators.

Kenya’s GDP dropped to 10.75 trillion shillings ($98 billion,83 billion euros) last year and the economy also shed 738,000 jobs, with informal workers such as small traders and artisans bearing the brunt of those losses.

Kenyans are still living under restrictions including a nighttime curfew to contain the spread of Covid-19.

The disease has infected almost 245,000 people in the country including almost 4,950 fatalities, according to official figures.

“Covid made our lives so miserable and now the fuel prices increase has made it even worse,” said 27-year-old Kevin Mwanzia, an electronics technician.

Advertisement. Scroll to continue reading.

“We simply can’t breathe, the public transport fare will increase, commodity prices will also increase. How are we supposed to survive?”

Advertisement

More on Capital Business

Energy

NAIROBI, Kenya, Mar 14 – Kenyans can now breathe a slight sigh of relief after the Energy and Petroleum Regulatory Authority (EPRA) cut fuel...

Energy

NAIROBI, Kenya, Mar 7 – The Energy and Petroleum Regulatory Authority (EPRA) has developed new regulations that will enable private investors to participate in...

Energy

NAIROBI, Kenya, Feb 22 – The Energy and Petroleum Regulatory Authority (EPRA) has refuted claims of overbilling customers, coming at a time when Kenyans...

Energy

NAIROBI, Kenya, Feb 21 – Kenyans are set to pay more for fuel after Energy Cabinet Secretary Davis Chirchir gazetted a new Petroleum Regulatory...

Energy

NAIROBI, Kenya, Feb 14 – A liter of petrol, diesel, and kerosene starting at midnight today will cost Sh1 less after the Energy and...

Kenya

NAIROBI, Kenya, Feb 2 – The Energy and Petroleum Regulatory Authority (EPRA) has revealed that the Liquefied Petroleum Gas (LPG) storage and facility plant...

Kenya

NAIROBI, Kenya, Jan 23 – The International Tracking Standard Foundation (I-Track) has appointed the Energy and Petroleum Authority (EPRA) as the local issuer of...

Energy

NAIROBI, Kenya, Jan 14 – The Energy and Petroleum Regulatory Authority (EPRA) has cut the prices of super petrol and diesel by Sh5, as...