Kenya fuel prices: Will EPRA reduce petrol, diesel and kerosene prices on November 14?

Kenyans are eagerly awaiting potential fuel price reductions ahead of the November 14 review, as international oil prices have dropped by nearly 15 per cent. Treasury Cabinet Secretary John Mbadi has indicated plans to use government stabilisation funds to help consumers, but the final decision depends on the cost of imported petroleum products and the government's intervention.

EPRA is set to announce the new maximum retail prices on November 14, which will take effect at midnight for the pricing period from November 15 to December 14.

The decline in international oil prices and the government's proposed use of stabilisation funds have raised hopes for lower fuel prices. Murban crude oil prices fell to US$94.04 per barrel on November 5, from US$110.46 on October 29, representing a decline of approximately 14.86 per cent. However, the Kenyan shilling remains stable at Ksh129.96 against the US dollar, which could otherwise offset some benefits of lower international oil prices.

While a reduction in fuel prices is possible, it is not guaranteed. The landed costs of refined petrol, diesel, and kerosene used in EPRA's calculations are not solely determined by international crude oil prices. Factors such as exchange rates, taxes, levies, distribution expenses, and the government's stabilisation intervention must also be considered. Therefore, the final outcome remains uncertain until EPRA releases its official figures.