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Home » Business & Economy » Matatu fares increase after fuel price hike in latest EPRA review
Business & Economy

Matatu fares increase after fuel price hike in latest EPRA review

Jabari KiooBy Jabari KiooApril 15, 20263 Mins ReadNo Comments
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Matatu fares increase after fuel price hike in latest EPRA review
Matatu fares increase after fuel price hike in latest EPRA review

NAIROBI, Kenya — Public transport fares across Kenya are set to increase after operators and matatu saccos announced immediate adjustments following a sharp rise in fuel prices.

The move comes after the Energy and Petroleum Regulatory Authority (EPRA) raised the cost of key petroleum products in its latest April–May 2026 pricing review, with diesel, widely used in public transport and freight, recording a significant increase.

In the review released on April 14, EPRA increased the price of Super Petrol by Ksh28.69 per litre and Diesel by Ksh40.30 per litre, while kerosene prices remained unchanged.

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Following the adjustment, pump prices in Nairobi now stand at:

  • Super Petrol: Ksh206.97 per litre
  • Diesel: Ksh206.84
  • Kerosene: Ksh152.78

The new prices took effect at midnight on April 15 and will remain in force until May 14, 2026.

The Kenya Transporters Association (KTA) warned that the surge in diesel prices would have an immediate impact on transport costs, making fare adjustments unavoidable.

According to the association, diesel prices have risen by approximately 24.5 per cent—an increase it described as a major shock to the road transport cost structure.

Fuel accounts for about 55 per cent of total operating costs in the sector, meaning fluctuations in pump prices directly affect pricing across freight and passenger services.

Using its internal cost model, KTA estimates that the latest increase will push overall transport operating costs up by between 13 and 14 per cent.

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“Members are advised that such a substantial rise in input costs cannot be absorbed sustainably. It is therefore necessary for all members to immediately review their cost structures and adjust transport rates accordingly to reflect the new cost realities,” the association said.

Operators were also urged to engage clients transparently to explain the basis for fare increases and avoid disruptions in supply chains.

The Matatu Owners Association confirmed that commuters should expect higher fares immediately.

Its president, Albert Karakacha, said operators had been consulting and would begin implementing new rates without delay.

Also Read: Kenya fuel prices rise as EPRA increases petrol by KSh28, diesel by KSh40

“We have been consulting, and from tomorrow, we will push the prices for bus fares upwards. If you see the new prices, diesel has really gone up, and that is what we use most, so that has to go to the common mwananchi,” Karakacha said.

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Despite the sharp increase, EPRA indicated that the government had taken steps to mitigate the impact on consumers.

These include:

  • Reducing Value Added Tax (VAT) on petroleum products from 16% to 13%
  • Deploying approximately Ksh6.2 billion from the Petroleum Development Levy to stabilise prices

However, analysts note that these interventions have only partially offset the effects of rising global oil prices and exchange rate pressures.

The fare increase is expected to trigger a ripple effect across the economy, including:

  • Higher cost of commuting for households
  • Increased prices of goods due to higher transport costs
  • Pressure on inflation and cost of living

With diesel being central to both public transport and logistics, the latest adjustment is likely to affect nearly all sectors, from agriculture to retail.

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Jabari Kioo
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Jabari Kioo is a dedicated journalist, political correspondent, and investigative writer specializing in governance, public policy, and accountability reporting. He is committed to delivering deeply researched journalism that informs national discourse and strengthens institutional transparency. Driven by a mission of public service, Jabari ensures his work consistently upholds the highest principles of editorial integrity and factual accuracy.

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