The Energy and Petroleum Regulatory Authority (EPRA) announced revised fuel prices for the period between January 15 and February 14, 2025.
In its January 14 report, EPRA announced an increase of Ksh0.29 for Super Petrol, Ksh2.00 for Diesel, and Ksh3.00 for Kerosene.
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Fuel Prices Rise as EPRA Releases Monthly Review
This means that Super Petrol will retail at Ksh176.58, Diesel at Ksh167.06, and Kerosene at Ksh151.39 in Nairobi.
“In the period under review, the maximum allowed petroleum pump prices for Super Petrol, Diesel and Kerosene increase by Ksh 0.29, 2.00 and 3.00 respectively. In Nairobi, Super Petrol, Diesel and Kerosene will retail at Ksh176.58, 167.06 and 151.39 effective midnight,” a statement from EPRA read in part.
“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 2024 and the revised rates for excise duty adjusted for inflation as per Legal Notice No. 194 of 2020.”
EPRA’s prices come after the Central Bank of Kenya (CBK) announced that international oil prices remained stable during the week ending January 10, 2025.
EPRA breaks down new fuel price decision
According to the report released on Wednesday, the average landed cost of imported Diesel increased by 0.06% from US$643.69 per cubic metre in November 2024 to US$644.10 per cubic metre in December 2025.
The average landed cost for Kerosene, however, decreased by 1.62% from US$660.30 per cubic metre to US$649.64 per cubic metre over the same period, while that of Super Petrol decreased by 0.14% from US$612.53 per cubic metre.
Landed cost refers to the cost of getting a product from its supplier to the destination and is usually dependent on foreign exchange trends, among other factors.
Although the Kenyan Shilling remained stable exchanging at Ksh129.58, EPRA increased fuel prices indicating a possible shift in the prices of oil in the import markets.
This was the first time since October 2023 (over 15 months) when EPRA increased fuel prices.
Kenya Signs Historic Trade Deal with UAE
Elsewhere in the Middle East, President William Ruto and UAE President Sheikh Mohamed bin Zayed Al Nahyan signed the Kenya-United Arab Emirates Comprehensive Economic Partnership Agreement (CEPA) in Abu Dhabi on January 14.
The agreement is set to deepen trade ties between the two nations by simplifying trade procedures, promoting industrialization and stimulating investment.
It also aims to triple Kenya’s exports of meat products, fruits, vegetables, cut flowers, tea, and coffee once implemented.
Additionally, CEPA will also provide the UAE with investment opportunities in several sectors of the Kenyan economy, including energy, water, agriculture, health, ports, airports, logistics, human resource development, and ICT.
In a statement on Tuesday, State House said the new deal aligns with the Kenyan government’s policy of reducing borrowing while enhancing investment capital, foreign direct investment (FDI), and public-private partnerships (PPPs).
Horticultural Exports Drop Amid Transport Woes
And Kenya’s horticultural exports declined in 2024 due to reduced shipments to key markets in Europe and Asia.
The value of horticultural exports fell by 12.7% primarily because of transport disruptions on the key Red Sea route, where cargo ships have been targeted by Houthi militants in Yemen.
According to State Department for Agriculture PS, Paul Ronoh Kenya earned Ksh137 billion (approximately 1.06 billion U.S. dollars) from horticultural exports in 2024, down from Ksh157 billion (1.21 billion U.S. dollars) in 2023.
“The change of export routes not only lengthened transit times for those highly perishable products but also increased airfreight costs,” Ronoh said.
Speaking at the launch of the National Horticulture Standing Committee in Nairobi, Ronoh added that the decline was also attributed to a stronger Kenyan shilling, which made exports more expensive and dampened demand.
Ronoh stated that other challenges include climate change, high production costs, pests and diseases, market competition and stringent market requirements.
ALSO BIG THIS WEEK
- Limuru Tea Plc warned investors of a profit decline exceeding 25% for the financial year ending December 31, 2023, citing higher costs and a drop in asset valuations.
- The Competition Authority of Kenya (CAK) has authorized Canadian entrepreneur Stephan Crétier to fully acquire and control security company KK Security Limited.
- The Communications Authority of Kenya (CA) has proposed a hike in licensing fees for satellite and cable communication providers, including Starlink.
- Kenya Airways’ share price surged by nearly 50% in its first week back on the Nairobi Securities Exchange (NSE), becoming the top stock in capital gains so far this year.
- According to the Kenya National Bureau of Statistics (KNBS), only 16 counties experienced economic growth surpassing the national average GDP growth of 4.6% from 2019 to 2023.
Currency Trends
The Kenya shilling remained stable against major international and regional currencies during the week ending January 9.
It exchanged at 129.47 per US dollar on January 9, compared to 129.31 per US dollar on January 2.
At the same time, the shilling was broadly unchanged against the US dollar on Tuesday, January 14, according to data from the London Stock Exchange Group.
The shilling traded at 129.20/129.70 per dollar, compared to 129.25/129.75 at the close of trading on Monday.
List of Key Tenders Advertised by the Govt
- Kenya Airports Authority (KAA) invited bidders to apply for the development and management of a branded restaurant at Wilson Airport and a branded hotel at Jomo Kenyatta International Airport (JKIA).
- KAA also advertised a tender for the prequalification of law firms to provide it with external legal services.
- The National Youth Service (NYS) is seeking suppliers for the supply, delivery, installation, and commissioning of complete bakery equipment for producing standard bread (600-900 grams), with a capacity of 240 pieces per session, at its paramilitary academy in Gilgil.
- Additionally, the NYS is looking bidders to supply, deliver, install and commission an electric maize mill for its Athi River unit in Yatta.
- The Kenya Medical Training College (KMTC) has invited eligible firms to provide security services for its campuses in seven regions, including Western, Central, Nyanza, Nairobi, Eastern, South Rift, and North Rift Valley.
- Kenya Power and Lighting Company (KPLC) has invited tenders for the provision of radio spares, fiber optic tools, and equipment.
- The Government of Kenya through the Ministry of Lands, Public Works, Housing and Urban Development, State Department for Housing and Urban Development, invited tenderers for the completion of 560 housing units in six counties.
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