Kenya slashes diesel price by KSh10 with KSh10 billion fuel subsidy

The Energy and Petroleum Regulatory Authority (EPRA) announced new maximum retail fuel prices for the June‑July 2026 cycle. Diesel will fall by KSh10 per litre to KSh222.86, while super‑petrol drops by KSh0.22 per litre to KSh214.03; kerosene prices remain unchanged. The reductions are funded by about KSh10 billion from the Petroleum Development Levy (PDL) Fund, a government subsidy aimed at easing the cost of living and reducing transport, agricultural and industrial expenses.

The price adjustments reflect recent movements in global oil markets and a modest depreciation of the Kenya shilling. EPRA noted a 0.56% decline in the landed cost of super‑petrol and a slight 0.21% rise in diesel import costs. The new rates take effect from midnight on 15 June and will remain in force until 14 July 2026. The measure follows months of volatility, including sharp price hikes that sparked protests and a transport sector strike, prompting the Ruto administration to intervene with subsidies to stabilise the market.