Kenyans’ cry of pain
Kenyans’ cry of pain
Kenyan fuel users have been complaining about the high cost of the product since the regulator’s announcement. Public transportation yesterday announced a 20% tariff hike in response to the Energy and Petroleum Regulatory Authority’s (EPRA) decision to increase gasoline costs.
In its most recent assessment, EPRA raised the cost of fuel, increasing the price of gasoline by Sh16.96 per liter, diesel by Sh21.32 per litre, and kerosene by Sh33.13 per litre such that they now retail in Nairobi for Sh211.64, Sh201, and Sh202.13, respectively.
All of our members around the nation have been contacted, and we have come to an agreement that our fares would increase by 20% as of right now, according to Matatu Owners Association (MOA) chairman Albert Karakacha.
In the same way that EPRA attributed the price increase for fuel on inflation, Mr. Karakacha claimed that they were forced to raise the fares. if businesspeople, “we also have to increase as inflation goes up so that we do not operate at a loss,” he said.
He claimed that with the hike, the cost of filling a 33-seater tank will rise to almost Sh16,000 from the current Sh14,000. He continued by saying that since the cost of diesel had increased by Sh17 per litre, operating a 14-seater matatu would now be more expensive. Karakacha urged the government to consult with matatu operators and develop a strategy for lowering operating costs.
Public transportation is a vital industry that employs many Kenyans, according to MOA Chief Executive Officer Patricia Mutheu, and with the increase in gasoline prices, most stakeholders may decide to forgo participating.
“This is a cry to the government that we need a serious national stakeholders’ meeting on matters of public transportation because we are the pushers of the economy and the moment we push the tax increment to the commuters, life becomes unbearable,” said Ms. Mutheu.
The increase in gasoline prices, according to importers and exporters along the Coast, will force them to increase the cost of shipping goods. According to custom agents who were interviewed, importers and transporters will pass on the additional costs to importers, who will eventually cover the cost of necessities like goods and services.
According to Kenya Transporters Association (KTA) CEO Mercy Ireri, the hike will reduce the profit margins of large transporters that have contracts for freight that were determined through competitive bidding based on prior gasoline prices.
Unbearable “It is not going to be easy for the transporters who have already signed a contract of transporting goods based on the price of the fuel at the time the contract was being signed,” stated Ms. Ireri.
The average cost of shipping a 20-foot container by road from Mombasa to Nairobi is around Sh66,950, while shipping a 40-foot container costs on average Sh87,550. Transporter Ken Mayaka told The Saturday Standard that depending on a container’s final destination, the freight is anticipated to rise by at least Sh20,000.
James Kitavi, Chief Executive Officer of the Kenya National Chamber of Commerce and Industry’s Coast chapter, stated that although while the impact could not be readily assessed, many enterprises would undoubtedly be impacted.
It is obvious that the increase in gasoline prices will result in an increase in the price of power, which will have an impact on many factories and traders, despite the fact that I am unable to discuss the impact because fuel prices increased yesterday.
Zachary Njeru, the secretary to the Lands Cabinet, supported the government’s decision to raise fuel prices. He claimed that the rise in pricing on the global market was to blame for it. “We import all of our gasoline, and the price of that fuel is set by the global market. The only option left to the government was to raise the prices. “It’s not just in Kenya; it’s everywhere,” Njeru remarked. ODM National Treasurer Timothy Bosire claimed in Kisii that the government was deceiving Kenyans on the rise in fuel costs.
Dorice Donya, a representative for Kisii women, said the government must devise plans to protect Kenyans from the rising cost of living. There are taxes on everything. As Donya pointed out, it makes no sense to raise the price of fuel when the cost of basic necessities is so much higher.
A group of businessmen and boda boda drivers claimed they were upset over the recent increase in fuel costs. “It is what determines how much things cost. We beg the President to use all of his authority to lower petrol prices, said Ray Mandela, a merchant in Migori.
Transport industry participants in Kisumu demanded that the Kenya Kwanza government reinstate the gasoline subsidy that had been eliminated.
