KEROSENE PRICE HIKE DEALS BLOW TO FUEL ADULTERATION PROFITS
Kenya’s withdrawal of the kerosene subsidy has narrowed the price gap between kerosene and diesel, reducing the incentive for illegal fuel adulteration as households face higher fuel costs.
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The government’s decision to withdraw the subsidy comes as international fuel prices rise amid the ongoing conflict in the Middle East, which has increased the cost of importing petroleum products.
The Petroleum Development Levy Fund, which has been used to cushion consumers against rising fuel prices, has also faced pressure following heavy spending on subsidies in recent months.
While the removal of the kerosene subsidy may help discourage illegal fuel mixing, it also means households that depend on kerosene for cooking and lighting will have to spend more.
The latest changes highlight the challenge facing the government as it seeks to protect consumers from high fuel costs while preventing illegal practices that threaten fuel quality and the wider economy.
The new pump prices took effect on October 15 and will remain in force until November 14, 2026.
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Written by Anne Moses
Reporter and staff writer at Getembe News.
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