Energy CS Wandayi explains rise in fuel prices, maintains Kenya has sufficient supplies

The government has attributed the rise in fuel prices to volatility in the global oil market driven by the ongoing conflict in the Middle East.

In a statement on Friday, Energy Cabinet Secretary Opiyo Wandayi said the geopolitical tensions have disrupted global energy supply chains and increased the cost of importing petroleum products.

According to Energy Cabinet Secretary Opiyo Wandayi, Kenya, as a net importer of petroleum products, remains exposed to external market shocks, including rising crude oil prices, elevated freight charges and uncertainty in global supply.

“Consequently, the prices of Super Petrol and Diesel have been adjusted in line with prevailing global market conditions, exchange rate pressures, and increased supply chain costs,” the ministry said.

Wandayi explained that the average landed cost of imported Super Petrol rose from USD 823.27 per cubic metre in March to USD 906.23 in April, representing a 10 per cent increase.

Diesel recorded the highest jump, increasing by 20.32 per cent from USD 1,073.82 per cubic metre to USD 1,291.98 over the same period.

Kerosene increased marginally by 1.59 per cent from USD 1,311.93 per cubic metre to USD 1,332.73.

However, the government said it had maintained Kerosene prices at current levels to cushion vulnerable households that rely on the commodity for domestic use.

According to the ministry, Kenya continues to benefit from fixed freight and premium costs negotiated under the G-to-G arrangement for refined petroleum imports.

To ease the impact of rising global fuel prices, the government said it had utilised the Petroleum Development Levy (PDL) stabilisation mechanism, applying approximately Ksh.5 billion to cushion Diesel and Kerosene prices during the current review cycle.

The ministry also defended the government-to-government (G-to-G) fuel importation framework, saying it had shielded Kenya from surging global freight and premium charges.

“Currently, global spot freight and premium rates for petroleum cargoes have more than doubled, exposing countries reliant on spot purchases to very high escalations in the landed costs,” the statement read.

The ministry assured Kenyans that the country currently has adequate fuel stocks and that the government is closely monitoring developments in the international oil market.

It pointed out that consultations are ongoing with stakeholders in the transport, manufacturing, energy and business sectors to identify measures aimed at reducing the impact of rising fuel prices on consumers.

“The Government remains steadfast in its commitment to delivering reliable, accessible and affordable energy in support of economic growth, job creation and improved livelihoods for all Kenyans,” said Wandayi.

The explanation comes a day after the Energy and Petroleum Regulatory Authority (EPRA) announced a sharp increase in fuel prices for the period between May 15 and June 14, 2026.

Fuel prices skyrocketed with motorists now paying Ksh.214.25 per litre of Super Petrol and Ksh.242.92 for Diesel in Nairobi after EPRA increased the prices by Ksh.16.65 and Ksh.46.29 respectively, while Kerosene remained unchanged at Ksh.152.78 per litre.