Energy CS cracks down on petrol stations selling fuel at inflated prices

The Ministry of Energy and Petroleum has issued a stern warning to fuel retailers to adhere to the recently revised pump prices set by the Energy and Petroleum Regulatory Authority (EPRA).

Speaking on Thursday, Energy Cabinet Secretary Opiyo Wandayi threatened to take action against filling stations that continue to sell fuel at inflated prices, despite the reductions announced earlier this week on Tuesday.

Wandayi cautioned that retailers found charging more than the new prices will face consequences, emphasising the need for compliance across the sector.

"It has come to our attention that very many petroleum dealers and owners of petrol stations have either failed or refused to comply with the new pump prices that were unveiled on October 15. We are sounding out a warning to all those who are culpable to immediately comply with the new pump prices that will run up to November 14," he said.

On October 15, EPRA announced a significant drop in fuel prices—the largest decrease in 19 months—with petrol now retailing at Sh180.66 per litre, diesel at Sh168.06, and kerosene at Sh151.39.

The adjustment came after the landed cost of these fuels dropped by between 5.5 per cent and 8.6 per cent. The reduction in petrol prices has been substantial, decreasing from Sh3.40 in August to Sh0.83 last month, culminating in the current month's drop of Sh8.18.

Despite these reductions, Wandayi noted that many filling stations have not complied with the new prices.

“We have mobilised all our lawful agencies to crack down on those businesses that will fail to comply with these new pump prices,” he said.

He also urged the public to report any petrol dealers who do not enforce the revised prices.

In addition, Wandayi dismissed claims that electricity prices would rise due to the recent partnership between the Kenya Electricity Transmission Company (KETRACO) and Adani Energies.

He reassured the public that this agreement would not lead to increased power costs, addressing concerns raised by critics.

"There is no basis for claims that electricity costs will go up as a result of this deal. Our priority remains affordable and sustainable energy for all Kenyans," he said.

The deal, which is estimated at Sh95.68 billion (USD 736 million), will see the Indian company develop, finance, construct, and operate critical transmission lines and substations across the country.

The agreement aims to tackle Kenya’s chronic power outages and ensure more reliable electricity access to support the country’s growing economy and industrial ambitions.

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“All Kenyans are well aware of the significant challenge that our country faces with persistent power blackouts. These projects are designed to significantly enhance our national electricity infrastructure (transmission lines and substations), ensuring reliable and widespread access to power that will support Kenya’s growing economy and development goals,” Wandayi said while announcing the deal.

He noted that the comprehensive project will be fully funded by the private sector, with Adani Energy Solutions raising both debt and equity.

According to the CS, over the next 30 years, Adani will manage the infrastructure under the agreement, ensuring its long-term sustainability before transferring it to KETRACO.