A fuel attendant. [Photo/the-star.co.ke]
Increasing fuel prices are set to push up the cost of living for most Kenyans.
In October, the Energy Regulatory Commission (ERC) increased the price of super petrol by Shs 3.37 a litre while that of diesel and kerosene went up by Shs1.85 and Shs1.82 respectively.
The Star reports that in September, the price of super petrol went up by Sh2.22 while that of diesel and kerosene increased marginally by Sh1 and Shs0.94 respectively.
“The changes in this month’s prices have been as a consequence of the average landed cost of super petrol, diesel and kerosene,” ERC Ag director general Pavel Oimeke said as quoted by the paper.
The cost of super petrol, diesel and kerosene went up by 7.42, 6.13 and 4.76 percent respectively between August and September.
The increase in pump prices likely to trigger a surge in consumer prices index which eased last month to settle at 183.66 from 184.72 the previous month, pushing inflation rate to 7.06, a six month low since March.
The inflation rate for the month of October is therefore expected to be higher than 6.9 percent as forecasted by IECONOMICS, an indication that the annual inflation rate is likely to be above the CBK's ceiling of between 2.5 percent and 7.5 percent
The country's inflation rate is currently at a monthly average of 9.3 percent, with the least inflation rate of 6.99 percent recorded in January while May had the highest so far of 11.7 percent.
A litre of super petrol is now retailing at Shs101.67 in Nairobi while that of diesel and kerosene is Shs88.71 and Shs66.18 in that order.
In Kisumu, the retail price of super petrol has been capped at Shs103.64, diesel at Shs90.89 and kerosene at Shs68.11
Fuel is a bit cheaper in Mombasa where a litre of super petrol is going for Shs98.39. Diesel and Kerosene are retailing at Sh85.44 and Shs63.42 per litre.