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Nairobi Business Monthly
Home»Briefing»Fuel prices drop after State retains subsidy scheme
Briefing

Fuel prices drop after State retains subsidy scheme

Antony MutungaBy Antony Mutunga15th April 2025Updated:15th April 2025No Comments2 Mins Read
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The Energy and Petroleum Regulatory Authority (EPRA) has announced a decrease in the maximum retail prices of petroleum products for the period spanning 15 April 2025 to 14 May 2025.

This price drop follows the state’s decision to retain the subsidy scheme, which has resulted in the lowest fuel prices in at least two years.

In Nairobi, Super Petrol will now retail at Sh174.63 per litre, marking a reduction of Sh1.95. Diesel prices have dropped by Sh2.20 to Sh164.86 per litre, while Kerosene will cost Sh148.99 per litre, a decrease of Sh2.40.

The Nairobi Law Monthly September Edition

The prices are inclusive of the 16% Value Added Tax (VAT) in line with the provisions of the Finance Act 2023, the Tax Laws (Amendment) Act 2024, and the revised rates for excise duty adjusted for inflation as per Legal Notice No. 194 of 2020.

The price cuts follow a decline in the average landed cost of imported petroleum products. According to data from EPRA, Super Petrol decreased by 4.89%, from $637.22 to $606.06 per cubic metre between February and March 2025. Similarly, Diesel and Kerosene recorded reductions of 6.45% and 6.53%, landing at $636.75 per cubic metre and $628.22 per cubic metre, respectively, during the same period.

This reduction is expected to provide relief to consumers and businesses grappling with high energy costs. As EPRA continues to monitor global oil market trends to ensure fair pricing in line with local economic conditions, motorists and households using kerosene are advised to take advantage of the lowered prices during this cycle.

The Nairobi Law Monthly September Edition
Fuel prices
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Antony Mutunga

Antony Mutunga holds a Bachelors degree in Commerce, Finance from Jomo Kenyatta University of Agriculture and Technology. He previously worked for Altic Investment & Consultancy before he joined NBM team in 2015. His interest in writing ranges from business, economics and technology. He is also our lead researcher in matters business.

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