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Public protests in Nairobi and other major cities in Kenya are exposing the pain of rising fuel costs, which authorities blame on supply shocks caused by the war in the Middle East.
On Monday, major roads in Nairobi and other cities were blocked as protesters, mainly from the transport and logistics sector, took to the streets to oppose the latest price increases. Businesses, schools and public offices were largely shut after organisations advised clients to stay at home to avoid being caught up in the unrest.
In Nairobi, motorists who defied the protest call were turned away, while others had their vehicles vandalised or torched. Police dispersed some groups that turned violent and arrested dozens of protesters.
Yet the chaos reflected a deeper political and economic problem. The Transport Sector Alliance, a grouping of lobbies representing passenger transport, cargo, ride-hailing, motorcycle taxis, school buses, driving schools and private motorists, called the protests, citing unaffordable fuel prices that are pushing up food costs, fares and the price of essential goods.
Price pain“This action is not only for transport operators, but for every Kenyan citizen,” the alliance said in a joint statement on Sunday evening, promising peaceful demonstrations. The protests quickly turned violent.“For this reason, farmers, business owners, workers, and consumers across the country have already expressed solidarity. They are expected to participate in the demonstrations in their towns, shopping centres, and local communities.”Every 14th of the month, Kenya’s energy regulator revises fuel prices and caps the cost per litre in major towns. The latest revision was the highest yet, with petrol in Nairobi rising to $1.65 (Ksh214.25) per litre and diesel to $1.87 (Ksh242.92). Kerosene now costs $1.18 (Ksh152.78).
That represented an increase of Ksh46.29 per litre for diesel and Ksh16.65 for petrol. The changes came despite the government suspending half of VAT on fuel and assuring the public of adequate supplies despite the war between the US/Israel and Iran.
Kenya’s price increases reflect a wider East African trend, as countries in the region are net fuel importers dependent on the Gulf.
The Transport Sector Alliance alleged that Kenyans were paying the highest prices in the region, citing Ethiopia, which, despite being landlocked, has the lowest prices. It also accused Nairobi of influencing neighbouring markets by raising its prices. Treasury Cabinet Secretary John Mbadi rejected the comparison as a false analogy.“I hear people saying fuel is cheaper in Uganda and Tanzania. Where is the evidence?” Mr Mbadi asked on Fixing the Nation on Nation FM on Monday.“The increase in fuel prices in Kenya is much lower than in our neighbours.”Political faultlineFuel is both a political hot potato and a revenue source for the state. More than half of the pump price consists of taxes and levies imposed by the government. Before the Gulf crisis, Kenya imposed 16 percent VAT on fuel, a tax that had long been politically contentious. After the crisis, it halved the charge to eight percent for at least two months.
That has brought little relief to motorists as prices continue to rise.
Politically, those who once opposed fuel tax hikes are now in government defending them, while some who supported them are now critics.
Kalonzo Musyoka, a former Vice-President under Mwai Kibaki, said President William Ruto should immediately convene talks on fuel pricing and called for the resignation of Energy Cabinet Secretary Opiyo Wandayi.“This announcement was made without consultation, without compassion, and without any consideration for its devastating impact on Kenyan families already crushed under the weight of this government’s spiralling cost of living,” Mr Musyoka, now part of an opposition group known as the Alternative Government, said of the May 14 price increase.
“The Transport Sector Alliance did not act without cause, and their strike is a legitimate response to an illegitimate policy. When a regime’s decisions make it economically impossible for transport operators to serve the public, the paralysis that follows must be laid squarely at the feet of those who govern, at the door of William Samoei Ruto.”David Maraga, the former Chief Justice who now leads the United Green Movement party, said he also endorsed the protests.“While we acknowledge that the fuel crisis is a direct result of the war against Iran, every responsible government is taking steps to cushion its citizens from the high cost of living,” he said.
“As a first step, Parliament should convene immediately to exempt all fuel products from VAT; temporarily remove all fuel levies to stabilise fuel prices; and redirect more resources being squandered through budgeted corruption to alleviate the energy crisis.”Security responseMeanwhile, the National Police Service (NPS) said the strike was based on false claims.“The majority of stakeholders in the transport sector remain committed to conducting their business without interruption. This position has been reinforced by the United Transport Association of Kenya (UTAK), which has distanced itself from the strike by issuing a comprehensive statement to that effect,” spokesperson Muchiri Nyaga said on Sunday, suggesting divisions among transport lobbies.
“The NPS wishes to assure Kenyans of their security as they go about their duties tomorrow. Security measures have been enhanced, and any disruptive conduct will be dealt with firmly and in accordance with the law.”As fears over safety spread, many residents stayed away, slowing business across the country.
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