People’s Renaissance Movement Party Blames Government for Soaring Fuel Prices in Kenya

A growing wave of discontent is sweeping across Kenya as calls intensify for urgent government intervention to address the rising cost of fuel and its ripple effects on the economy.

A civic movement has sharply criticized the government, accusing it of failing to protect citizens from skyrocketing fuel prices and the resulting economic strain. In a strongly worded statement, the group described the situation as a failure of governance, warning that the continued rise in fuel costs is pushing millions of Kenyans to the brink.

The movement highlighted that fuel prices have been driven up by heavy taxation, with taxes reportedly accounting for between 40 and 50 percent of the pump price—among the highest in the region. It also pointed to a lack of transparency in fuel procurement and the absence of a functional strategic fuel reserve as key factors contributing to price instability and vulnerability to global supply shocks.

To address the crisis, the group proposed a series of immediate measures aimed at delivering relief within weeks. Top among them is the suspension of the 8 percent Value Added Tax (VAT) on fuel and a reduction of excise duty by at least half. According to the movement, such steps could lower petrol and diesel prices by between KSh 20 and 30 per litre, easing the burden on households and businesses.

The proposals also include the establishment of a strategic fuel reserve capable of sustaining the country for up to 90 days. This, the movement argued, would help prevent artificial shortages and protect consumers from panic-driven price hikes.

In addition, the group called for full transparency in the fuel supply chain, including the publication of all import contracts and pricing structures, alongside an independent audit of the sector within 30 days to address alleged inefficiencies and cartel influence.

Recognizing the impact on transport, the movement further proposed a targeted public transport subsidy of between KSh 15 billion and KSh 20 billion to support matatu and bus operators. It suggested that the savings be passed directly to commuters through regulated fare caps, potentially reducing transport costs by up to 25 percent.

The movement warned that transport costs have already surged by between 20 and 50 percent, placing immense pressure on households and threatening the survival of small and informal businesses, which account for over 80 percent of employment in Kenya.

It also blamed weak currency management for increasing the cost of fuel imports, further driving up pump prices. Without decisive action, the group cautioned, the economic strain could deepen, leading to widespread business closures and increased hardship for ordinary Kenyans.

As pressure builds, the government now faces mounting expectations to implement reforms that will stabilize fuel prices, restore public confidence, and cushion citizens from the ongoing economic challenges.