Raila demands reduction in fuel prices by Sh50 following drop in global Prices

Azimio la Umoja leader Raila Odinga has demanded a significant reduction in fuel prices by Sh50 per litre, citing significant drop in global oil prices.

The former Prime Minister who addressed his supporters in Kajiado during an ODM party recruitment drive noted that Kenyans can no longer afford to pay high prices for fuel at a time when oil prices has dropped significantly.

He maintained that due to the current global oil market dynamics, nothing short of a significant drop should be announced by the Energy and Petroleum Regulatory Authority (EPRA), adding that a marginal drop of Sh5-10 will not be sufficient.

"We have information that global prices have gone down. This month the fuel prices must go down by Sh45 to Sh50 per litre," Odinga stated.

He faulted EPRA and the government for making the high cost of living worse due to the high fuel prices in the country.

fuel pump BI Africa

In the last fuel prices review, the government intervened to stabilize the prices, with a litre of Super Petrol, Diesel and kerosene retailing at Sh217.36, and Sh203.47 Sh203.06 at the pump respectively in Nairobi.

“In order to cushion consumers from the spike in pump prices as a consequence of the increased landed costs, the Government has opted to stabilize pump prices for the November December 2023 pricing cycle.

“The National Treasury has identified resources within the current resource envelope to compensate Oil marketing Companies,” EPRA announced on its X platform.

CBK statement on drop of global fuel prices

Earlier, this week, the Central Bank of Kenya (CBK) released a statement confirming a drop in global oil prices with Kenyans eagerly waiting to have the same reflect in the prices they pay for fuel.

READ: Fuel prices to go down further in in December - Ruto promises Kenyans

CBK attributed the drop in fuel prices to a reduced demand for oil in the US and China.

"Murban oil price declined to USD 75.18 (Ksh11,641) per barrel on December 7 from USD 85.51 (13,240) per barrel on November 30," read the statement in part.

Speculation is rife that fuel prices could drop to mirror global oil prices in the coming days.

Speculation is however rife that the weakening Kenya shilling against the dollar may not see the prices drop significantly.

EPRA Director General Daniel Kiptoo Speaking during a meeting hosted by the French Chamber of Commerce in Nairobi EPRA Director General Daniel Kiptoo Speaking during a meeting hosted by the French Chamber of Commerce in Nairobi Pulse Live Kenya

EPRA is set to announce new fuel prices on Thursday, December 14, 2023.

Last month, President William Ruto promised Kenyans a much-needed relief, assuring them that the prices of fuel will go down from next month, with each subsequent month seeing a reduction of prices until a sustainable price is reached.