NAIROBI, Kenya, Feb 21 – Kenyans are set to pay more for fuel after Energy Cabinet Secretary Davis Chirchir gazetted a new Petroleum Regulatory Levy (PRL), increasing the levy to 0.75 percent per liter of fuel.
Currently, the tax is pegged at 0.25 percent.
The fee, which is payable to the Energy and Petroleum Regulatory Authority (EPRA) to fund its operations, is part of nine taxes applied to fuel, such as the anti-adulteration levy, import declaration fees, and value-added tax, among others.
The new charges came into effect on February 15, 2024.
The hike in the levy is a thorn for consumers, as the new rate will push up the final cost of fuel in the country.
Only last week did the EPRA cut the prices of super petrol, diesel, and kerosene by Sh1 to Sh206.36, Sh195.47, and Sh193.23, respectively, in Nairobi.
“In the period under review, the maximum allowed petroleum pump price for Super Petrol, Diesel, and Kerosene decreased by KShs 1.00 per liter, respectively,” EPRA said last week.
“The prices are inclusive of the 16% Value Added Tax (VAT) in line with the provisions of the Finance Act 2023, the Tax Laws (Amendment) Act 2020, and the revised rates for excise duty adjusted for inflation as per Legal Notice No. 194 of 2020.”
