NAIROBI, Kenya, Feb 9 – The High Court has upheld the government’s public participation process in the 2024 fuel levy increase, dealing a blow to legal challenges targeting tax and levy adjustments on procedural grounds.
In dismissing a petition filed by Haki Yetu Organisation, the court ruled that the process leading to the Sh7 increase in the Road Maintenance Levy met the constitutional threshold for public participation.
The petition had sought to invalidate the Road Maintenance Levy Fund (Imposition of Levy) Order, 2024, arguing that the public was inadequately consulted and insufficiently informed about the implications of the levy increase.
Haki Yetu also claimed that reliance on online platforms excluded sections of the population with limited internet access, undermining meaningful participation.
However, the court agreed with submissions by the Energy and Petroleum Regulatory Authority (EPRA) and the Kenya Roads Board (KRB) that the public participation process was properly conducted.
In its ruling, the judge noted that the proposed Sh7 increase was clearly outlined during the consultation period and that EPRA invited both written and in-person submissions from stakeholders before implementing the levy.
The court found no evidence that the consultation process was deliberately exclusionary or fell short of constitutional standards.
The decision affirms the authority of regulators to adjust levies provided due process is followed, and sets a precedent that could influence future legal challenges against tax and fee increases.
The ruling is expected to strengthen the government’s position as it reviews revenue measures amid rising pressure to fund infrastructure while limiting borrowing.
In mid-2024, EPRA raised the Road Maintenance Levy to Sh25 per litre from Sh18 on petrol and diesel, citing the need to address funding gaps in road maintenance caused by inflation and rising construction costs.
