No respite for consumers as petrol prices go up again

Kenyan consumers will have to dig deeper into their pockets after the pump price of petrol and kerosene went up for the third month in a row, signalling a rise in the cost of living as prices of unga, milk, sugar and other basic products continue to spike.
However, there was some respite after the Energy Regulatory Commission (ERC) announced a drop in the price of diesel for the second month in a row.
Starting today, the pump price of petrol will increase by Sh1.59, Kerosene Sh0.90 but the cost of diesel will come down by Sh0.57 to retail at Sh99.59, Sh65.28, and Sh88.05 respectively in Nairobi. In Mombasa, a litre of super petrol will retail at Sh96.32, Kerosene Sh62.52 and Diesel at Sh84.79, the cheapest rates across the country.
The new prices took effect at midnight and will lapse on June 14 when the commission will make another review.
The spike in fuel prices will be an added load to households now grappling with the high cost of living as foodstuff costs shoot through the roof thus pushing inflation rate to 11.48 per cent last month.
The price of common foodstuff like sukumawiki (kales) and cabbages, almost doubled as inflation of cost of living hit a five-year high in the month.
However, the ongoing rains, which started to hit the country last month, are expected to lessen the price pressures on essential commodities in coming weeks.
But the marginal increase in the cost of petrol and kerosene will mean that households will continue to tighten their belts, at least in the next one month.
To tame the spiralling cost of living, the government last week presented to the National Assembly a supplementary budget to address the cost of living.
On Thursday, the country received the first batch of imported maize from Mexico to tame the runaway prices.
According to ERC, the changes of this month’s pump prices are as a consequence of the increase of the average landed cost of imported super petrol and kerosene while that of diesel decreased in April compared to March. The pricing was also influenced by the shilling losing ground to the US dollar.
“During the period, the mean monthly US Dollar to the Kenyan Shilling exchange rate depreciated by 0.37 per cent from Sh102.95 per dollar in March to Sh103.32 in April,” said the statement signed Mueni Mutunga said.
Mutunga said ERC will work with other government agencies to ensure that consumers are shielded as much as possible from petroleum marketing companies and dealers who may increase the pump prices, something which will have a significant impact on the overall cost of living.
“Any party that contravenes this requirement is reliable to a fine of up to shillings one million and/or the withdrawal of the operating licence,” he said.