The pricing schedule shows that consumers will now pay the RMLF from Ksh18 in the June-July cycle to Ksh25, affecting both consumers of Super Petrol and Diesel.
The Energy and Petroleum Regulatory Authority (EPRA) on Sunday, July 14 increased the Road Maintenance Levy Fund (RMLF) by Ksh7, despite reducing fuel prices for the month of July-August.
The pricing schedule shows that consumers will now pay the RMLF from Ksh18 in the June-July cycle to Ksh25, affecting both consumers of Super Petrol and Diesel.
The increase comes despite pronouncements by former Transport Cabinet Secretary (CS) Kipchumba Murkomen during public participation that the government would delay plans to hike the levy.
Despite the increase, the prices of Super Petrol, Diesel and Kerosene all went down by Ksh1, Ksh1.50 and Ksh1.30, all per litre, respectively. Currently, the new prices read as follows: Nairobi motorists pay Ksh188.84 for Super Petrol, Ksh171.60 for Diesel and Ksh161.75 for Kerosene.
New fuel prices as announced by EPRA on July 14, 2024. /VIRAL TEA KE
EPRA had applied a subsidy of Ksh3.35 and Ksh2.50 per litre of petrol and diesel to cushion consumers from what would have been a rise in fuel prices. Landed costs of Super petrol and Diesel also fell by 4.65 per cent and 1.19 per cent respectively.
The drop comes at the back of the shilling’s rally against the dollar and the global drop in prices of crude and refined fuel. In particular, EPRA relied on an exchange rate of 129.06 units to the dollar compared to 132.72 units applied in the schedule that lapsed last midnight.
However, the increase in the RMLF is likely to put the Ministry of Roads on the spot given its earlier promises of delaying the imposition of the higher rate.
Murkomen, in a statement on July 8, noted that there has been a considerable increase in the country’s road network from 166,451km in 2016 to the current 239,122km which requires regular maintenance from the Ksh18 provided for by the Road Maintenance Levy that has been in place for the last eight years.
According to the CS, the county is grappling with a maintenance deficit of Ksh78 billion this financial year alone. With the current trend, it is projected that by the Financial Year 2028/2029 this financing gap will rise to Ksh315 billion.
He added that most of these abandoned roads are under the Low Volume Seal programme which has never been maintained in the last 10 years and is on the verge of being wiped away altogether, hence, the Roads Maintenance Levy Review is intended to fill this gap.
“From the views we have received, many Kenyans are worried that an increase in the levy will result in a rise in the cost of living.
“With this in mind, we will analyse the reports received on email and social media platforms as well as the submissions made today, and come up with a decision that corresponds with the recommendations from the public,” he added.
Murkomen assured Kenyans that the government was exploring ways of getting the resources it needed to maintain roads, as expressed by members of the public, without raising the cost of living through an increase in petroleum prices.
“As suggested by Kenyans, we will only make this decision when we are certain that any revenue measures adopted will not result in a rise in the cost of living,” he promised.
