The latest fuel price review has seen the price of kerosene increase by KES 1.57 per litre despite drop in international crude oil prices and petroleum product prices.
The Free On Board (FOB) price of Murban crude oil lifted in November 2012 was posted at USD 112.10 per barrel from USD 113.20 per barrel in October 2012. This reflects a marginal decrease of 0.97 percent.
The average landed cost of kerosene decreased by 2.29 percent to stand at USD 1076.55 per tonne in November 2012 from USD 1101.79 per tonne in October.
Despite drop in imported kerosene prices, this was not reflected in the new kerosene prices owing to what the energy regulator (ERC) says are inefficiencies of the local refinery where kerosene was sourced.
As posted in the Business Daily, ERC Director-General Kaburu Mwirichia said, “The price of kerosene increased despite a drop in imported Kerosene because most of it was sourced from the local refinery. The local refinery has inefficiencies which led to higher kerosene prices.
This will be unfortunate for households which depend on kerosene for their daily cooking and lighting, the hardest hit being those from Mandera who will have to part with KES 98.96 to purchase kerosene.
Price of super petrol and diesel, in Nairobi, have dropped by KES 1.07 and KES 0.06 per liter respectively.