Kiharu Member of Parliament Ndindi Nyoro has initiated a parliamentary effort to lower fuel expenses, suggesting substantial tax reductions that might decrease diesel costs by approximately Sh54 per liter.
Parliamentary documents reveal that Nyoro communicated with the National Assembly Clerk on May 15, requesting legal changes to reduce retail prices for premium gasoline, diesel, and kerosene.
The legislator advocates for a Sh7 reduction in the Road Maintenance Levy Fund (RMLF) by revoking the 2024 levy order, which would decrease the current Sh25 charge to Sh18 per liter.
Nyoro also proposes modifications to the VAT Act to exempt petroleum products from VAT, eliminating the existing 8 percent tax on fuel.
“These changes are immediate steps intended to lessen the inflationary and persistent economic impacts caused by current elevated fuel costs,” Nyoro indicated in his parliamentary submission.
The National Assembly has confirmed receiving the proposals and verified that the procedure is now active.
In a May 19 response, the Clerk’s Office stated the proposals would follow Article 114 of the Constitution and National Assembly Standing Orders before being directed to appropriate House committees for examination.
The Parliamentary Budget Office noted that the Budget and Appropriations Committee along with the Finance and National Planning Committee would require Nyoro to clarify how the proposals would affect the current budget, 2026/27 estimates, and existing commitments related to Road Maintenance Levy Fund revenues.
Following Parliament’s acknowledgment, Nyoro announced his intention to appear before the relevant committees the following week as discussions intensify.
“Having submitted proposals to Parliament aimed at reducing various taxes and levies to lower fuel prices, I’m pleased that Parliament has responded and the process has commenced,” he stated through a social media post.
The MP emphasized that the proposals are separate from ongoing transport sector deliberations, maintaining that escalating fuel costs directly and indirectly impact all Kenyans through higher living expenses.
In addition to tax reductions, Nyoro suggested lowering profit margins for importers and distributors while introducing an extra Sh5 billion fuel subsidy for gasoline products.
“Our goal is to eliminate the 8 percent VAT on fuel products, remove the Sh7 levy introduced in 2024, reduce profit margins for importers and distributors, and provide an additional Sh5 billion subsidy for petrol,” he explained.
According to the legislator, these measures could potentially reduce diesel prices by around Sh54 per liter, with premium gasoline also experiencing a notable decrease.
The proposals arrive amidst increasing public apprehension about rising fuel prices and the escalating cost of living throughout the nation.