People’s Party leader Ndindi Nyoro has proposed a KSh12 per litre reduction in petrol and diesel prices through government subsidies, lower fuel levies and cuts to importers’ and distributors’ margins.
In a statement issued on October 15, 2026, Nyoro called for a KSh5.5 billion subsidy for petrol and diesel, saying the intervention would reduce pump prices by KSh12 per litre based on monthly consumption of approximately 450 million litres.
He also proposed cutting importers’ and distributors’ margins by KSh10 per litre and scrapping the KSh7 fuel levy introduced in 2024, arguing that the measures would ease the rising cost of living and cushion households and businesses against high fuel prices.
Under his proposed changes, super petrol would drop from the current KSh226.96 per litre to KSh197.96, while diesel would fall from KSh227.76 to KSh198.77.
The proposed reductions would bring petrol prices down by KSh29 per litre and diesel by KSh28.99, before any reduction in Value Added Tax (VAT), which Nyoro said was not included in the calculations.
“The current trend is already unbearable,” Nyoro said, arguing that the government should take immediate action to protect Kenyans from the impact of high fuel prices.
The Kiharu Member of Parliament has questioned the latest price increases, pointing to a decline in the landed cost of diesel from KSh167 per litre in May to KSh138 in October, a drop of about 17 per cent.
Despite the lower landed cost, Nyoro said pump prices had risen, while importers’ margins had increased by KSh2.16 per litre, which he described as unacceptable during a period of economic pressure.
He further called for the application of funds from the current financial year’s KSh21.5 billion subsidy allocation to help lower fuel prices.
Nyoro also demanded an end to the government-to-government fuel import arrangement, calling for a return to competitive market pricing.
He said the government should disclose the investment agreement for the Dangote East African Petroleum Refinery, including its shareholding structure, and questioned arrangements that require Kenya to purchase petroleum products even when their prices are uncompetitive.
The proposals come as Kenyans face pressure from fuel costs, which feed into transport, food prices and the cost of doing business. Already Matatu Owners Association has announced a 10 percent fare increase following the fuel price hike
