Fuel Tax Burden Must Fall Now, Nyoro Demands
By Ayub John, Afri Media
Kiharu MP Ndindi Nyoro has called on the government to urgently review fuel taxes and levies, warning that the current pricing regime is placing an unbearable burden on Kenyans and slowing down the economy.
Speaking amid growing public concern over rising fuel costs, Nyoro said the recent policy decisions—particularly the additional 8 per cent VAT introduced in 2023 and the seven-shilling fuel levy added in 2024—are largely responsible for the sharp increase in pump prices.
He noted that Kenyans are not making unreasonable demands, but are simply asking the government to revert taxes and levies to their previous levels to provide immediate relief.
“If these adjustments are reversed, the pressure on fuel prices will ease and Kenyans will feel the difference at the pump,” he said.
Nyoro further argued that funds in the fuel stabilization mechanism are not government-generated, but contributions made by citizens over time, and should therefore be used to cushion them during periods of high prices.
In the medium term, the legislator proposed that the government consider zero-rating VAT on fuel products temporarily, noting that the current crisis is driven by short- to medium-term global shocks rather than long-term structural issues.
Drawing comparisons, Nyoro pointed out that in 2022, during the Russia–Ukraine War, global oil prices rose to about $115 per barrel, yet fuel prices in Kenya remained significantly lower than current levels.
“Today, global prices are around $98 per barrel, yet Kenyans are paying over KSh 200 per litre. This contradiction must be explained,” he said.
He also questioned why Kenya, as a regional hub for petroleum imports, continues to record some of the highest fuel prices in the region despite having stabilization mechanisms in place.
Nyoro raised concerns over the government-to-government (G2G) fuel import arrangement, calling for greater transparency and accountability in how the deals are structured and implemented.
“Kenyans deserve to know who is involved, how these agreements operate, and whether they serve the public interest,” he added.
He emphasized that continued transfer of high fuel costs to consumers risks slowing economic activity, arguing that Kenya has the capacity to shield its citizens during such periods.
Nyoro concluded by urging the government to prioritize fairness, transparency, and responsible governance, stressing that public resources must be managed in a way that benefits all Kenyans.
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