With a monthly consumption of approximately 400 Million litres, the government must reduce pump prices by at least the following amount. The proposal below is not a favour but asking the government to reinstate taxes and levies before they were added by this regime in 2023 (VAT) and Fuel Levy (2024). Reduce Ksh 7 from the fuel levy that was added in 2024.
Reduce VAT by an additional 5 % immediately, which will be approximately Ksh 8 per litre. Grant an additional 5 Bn in subsidies from the Fuel Stabilisation Fund, which will be approximately Ksh 12 Per Litre. The fund already has more than the required amount and in excess of Ksh 20Bn. This should translate to a reduction by Ksh 7 8 12 = Ksh 27. This is not too much to ask. Kenyans are simply demanding the reduction of Levies and taxes to the level they were before 2023. We are African and Africa is our Business..
