MP Nyoro seeks amendment to reduce fuel prices by Sh26

In another proposed amendment, the MP seeks to reduce Road Maintenance Levy Fund (RMLF) by Sh7. The amendment seeks to have the current levy of Sh25 reduced to Sh18 per litre.

He also asked the government to release Sh5 billion from Fuel Stabilisation Fund to cushion Kenyans from the high diesel prices that he said is set to hurt the economy.

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"Diesel, as outlined in the circular, has a higher landed cost. For prices to come down to the levels I am referring to, we must allocate 5 billion Kenyan shillings from the Fuel Stabilization Fund to reduce the cost of diesel by about 24 shillings," Mr Nyoro said.

"These measures will help stabilize the economy by reducing erratic inflationary pressures and ensuring stability in the medium and long term. Failure to implement them will result in fuel prices that are too high for the economy," he said.

The lawmaker also wants the importers and distributors margins reduced by Sh4.

"These amendments are short-term measures aimed at reducing the inflationary and sticky economic effects arising from the current fuel prices," the MP said in his letter to Mr Njoroge.

If his proposals were to be adopted by the National Assembly and assented into law by the President, price of super petrol which is now at Sh214.25 will drop to Sh187.38, while diesel will drop to Sh189.16 from the current Sh242.92.

In a press briefing, the lawmaker described the drastic rise in fuel prices as 'unacceptable and will grossly hurt the economy now, in the medium and long term.'

With the high fuel prices, he said, inflation is expected to rise drastically in the month of May going forward.

"It is not acceptable that the government has been playing with fuel prices for political gains,  purporting to give further direction after price guidance by EPRA."

The MP also raised concerns over the Government-to-Government arrangement, arguing that it has been turned into a kiosk for senior government officials. 

"The same people you see doing this or that to the fuel situation are the same owners of the G-to-G. 75 per cent of the importation of fuel benefits our leaders directly,” he claimed.

Read: Fuel crisis hits as State defends higher sulphur imports

"It is time for leaders tame their greed. Kenyans cannot accommodate global supply shock and also accommodate their greed at the same time. This is not the time to make money out of the misery of Kenyans," the MP said.

The lawmakers consequently demanded for the immediate abolition of the G-to-G fuel importation deal.

Meanwhile, Deputy President Kithure Kindiki said transportation, insurance costs of fuel had risen, but that the government was working to cushion Kenyans.

“I want to assure you that we are fully aware of the current challenge caused by the sharp increase in global oil prices due to the conflict between the United States and Iran. We are doing everything possible to prevent the situation from getting out of control," Prof Kindiki said on Friday when he inspected ongoing development projects in South Imenti Constituency in Meru County.

"We started by reducing VAT to 8 per cent, and just yesterday, we allocated Sh 5 billion in subsidies to help manage the prices of diesel and kerosene, which are heavily relied upon by many low-income households,” he said.

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