After the passing of the new bill into law, many changes will be made to Commodities following the increase in the value added tax to Petroleum products from eight percent to sixteen percent.
In conjunction to the increase EPRA has to announce the new prices of fuel which will take effect from tomorrow.
The Energy and Petroleum Regulatory Authority (EPRA) will announce new fuel prices today following the implementation of the Finance Act 2023.
In a statement, EPRA has highlighted the reason behind the adjustment, citing the doubling of the Value Added Tax (VAT) on fuel from 8pc to 16pc.
The additional 8pc Value Added Tax (VAT) imposed on petroleum products is expected to have a considerable impact on various aspects, including fuel prices per litre.
Currently in Nairobi, Super petrol is retailing at Ksh182.4, Diesel at Ksh167.28 while Kerosene is retailing at Ksh161.48.
According to President William Ruto, the 16pc increment is projected to make fuel prices more competitive which would subsequently attract foreign investors.
While tabling the bill in Parliament, the National Assembly’s Committee on Finance and Planning stated that the positives of increasing the VAT tax far outweighed the negatives.
