Crisis Alert: Africa Grapples with Soaring Fuel Prices as Diesel Hits Record Highs, Sparks Public Outcry

Published 2 days ago3 minute read
Pelumi Ilesanmi
Pelumi Ilesanmi
Crisis Alert: Africa Grapples with Soaring Fuel Prices as Diesel Hits Record Highs, Sparks Public Outcry

Kenyans are grappling with a severe economic shock following the Energy and Petroleum Regulatory Authority’s (EPRA) latest monthly review, which saw fuel prices surge to historic levels across the country. Effective May 15, 2026, and set to remain in force until mid-June, these new rates have triggered widespread public outcry and concern over their devastating impact on the cost of living.

Energy and Petroleum Cabinet Secretary Opiyo Wandayi mounted a firm defense of the government's position, explaining that the price adjustments were an unavoidable consequence of sustained volatility in the global oil market. He primarily attributed the surge to the deepening conflict in the Middle East, which has disrupted supply chains and sent shockwaves through international energy hubs. As a net importer of refined petroleum, Kenya is directly vulnerable to these external geopolitical tensions, leading to higher crude oil prices and significantly elevated freight and insurance costs for shipments arriving at the Port of Mombasa.

Wandayi provided a detailed breakdown of the sharp increase in landing costs between March and April 2026. Super Petrol saw a 10% increase, rising from $823.27 to $906.23 per cubic metre. Diesel recorded a massive 20.32% surge, climbing from $1,073.82 to $1,291.98 per cubic metre. Kerosene, while still affected, experienced a more marginal increase of 1.59%, moving from $1,311.93 to $1,332.73 per cubic metre.

The Cabinet Secretary maintained that EPRA conducted the review in strict accordance with the Petroleum Act of 2019, and that the adjustments reflect the reality of the international market and the “increased uncertainty” regarding the availability of petroleum products worldwide. The new rates were also calculated in accordance with other statutes, including the Finance Act 2023 and the Tax Laws (Amendment) Act 2024.

Despite the government's explanation and a partial subsidy, public and transport stakeholders warn that the record-high diesel prices will lead to a sharp rise in the cost of basic goods and services. The Law Society of Kenya (LSK) has called on the government to implement immediate measures to protect citizens, with LSK President Charles Kanjama warning that the Ksh 46.29 surge in diesel costs will trigger a devastating ripple effect across the economy. He emphasized that diesel is the backbone of food production, public transport, and commercial activity, and the price hike will disproportionately affect ordinary Kenyans.

While acknowledging the government’s Ksh 5 billion subsidy from the Petroleum Development Levy (PDL) Fund, which prevents even higher costs, Kanjama argued this intervention falls short. The LSK urged the government to strengthen oversight to prevent price exploitation, introduce additional cushions for vulnerable sectors, and ensure public finance management adheres to constitutional principles of equity and transparency. Former LSK President Faith Odhiambo questioned why the recent adjustment of VAT on petroleum, lowered from 16% to 8%, failed to meaningfully soften the blow for consumers, noting that global supply disruptions, particularly in the Persian Gulf, continue to push domestic prices to record highs.

For the first time in Kenya’s pricing history, Diesel—the primary fuel for transport, manufacturing, and agriculture—is significantly more expensive than Petrol, retailing at over Ksh 28 higher. The current maximum retail prices for Nairobi are: Super Petrol at Ksh 214.25, Diesel at Ksh 242.92, and Kerosene at Ksh 152.78. These rates are expected to exert immediate pressure on the cost of living, with experts predicting a ripple effect on transport fares and the price of basic commodities across the country until the next review scheduled for mid-June.

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