Kenyans should brace for higher matatu fares following the hike in fuel prices by the Energy and Petroleum Regulatory Authority (EPRA).
Last week’s assessment by EPRA resulted in a Sh9 increase in fuel prices across the board.
According to PSV operators and the Federation of Public Transport Sector’s latest price assessments, the change will affect all routes across the country.
“The federation hereby resolves that with effect from Monday, June 20, 2022 fares payable on public transport vehicles countrywide shall be adjusted upwards by 20 per cent,” said the lobby’s chairman Edwins Mukabanah.
Similarly, the Matatu Owners Association (MOA) has requested its members across the country to raise transportation prices, claiming that the existing fares are unsustainable because of the rising cost of fuel.
According to the association’s Chairperson, Simon Kimutai, rates on many routes in Nairobi will increase by between Sh.20 and Sh.50.
Kimutai notes routes charging Ksh.100 will be required to charge between Sh.120 and Sh.150. Other routes will be charged at the same prices.
Since May, the price of super fuel has risen 5.96 per cent to Sh159.12 per litre in Nairobi, with diesel and kerosene costing Sh140 and Sh127.94, respectively.
The fuel subsidy, which covers Sh25.56 for super petrol, Sh48.19 for diesel, and Sh42.43 for kerosene, will be phased out by the National Treasury, causing prices to rise even more.
Without the cover, petrol costs Sh184.68 per litre, while diesel and kerosene cost Sh188.19 and Sh170.37 per litre, respectively.
The treasury has warned that the cost of the fuel subsidy has reached an unsustainable level, putting the stabilization mechanism in jeopardy fiscally.
