EPRA Reduces Fuel Prices After VAT Cut, Drivers in Nairobi to Pay Less from Thursday

Norbert Bwire April 15, 2026

1 minute read

Motorists have reason to smile after the Energy and Petroleum Regulatory Authority (EPRA) announced a significant drop in pump prices for Super Petrol and Diesel. The change follows a government decision to lower Value Added Tax (VAT) on petroleum products from 13 percent to 8 percent.

According to a notice dated 15th April 2026, the new prices will take effect from 16th April 2026 and remain in force until 14th May 2026. The Cabinet Secretary for the National Treasury made the revision through Legal Notice No. 70, and EPRA quickly adjusted the maximum retail prices accordingly.

In real terms, the price of a litre of Super Petrol in Nairobi has gone down by KShs. 9.37, while Diesel is now KShs. 10.21 cheaper per litre. This means that from Thursday midnight, motorists in the capital will buy Super Petrol at KShs. 197.60 per litre and Diesel at KShs. 196.63. Kerosene remains unchanged at KShs. 152.78 per litre.

One interesting detail is that the subsidy on kerosene has been reduced from KShs. 108.10 per litre to KShs. 96.56 per litre. Even with that reduction, the price at the pump for kerosene has not gone up.

The announcement came just a day after an earlier round of price increases, which had surprised many Kenyans. However, the quick reversal and price cut have been welcomed by transport operators and ordinary drivers who rely on petrol and diesel for their daily activities.

EPRA has also attached a full price list and a breakdown of the Nairobi pump prices as annexes to the notice. The new VAT rate of 8 percent is already being reflected in the calculations, and the authority has confirmed that all oil marketing companies must comply with the revised maximum prices.

For now, consumers in other parts of the country can expect similar adjustments based on transportation costs, but the Nairobi figures give a clear picture of the direction prices are taking. Many Kenyans online have described the move as a welcome relief, especially coming just before the mid-month period when household budgets are often tight.