Paul Abuor, the Rongo Constituency Member of Parliament, has introduced proposed changes to the Petroleum Act of 2019, aimed at implementing more regular fuel price adjustments when global market disruptions occur.
Through a statement issued on April 20, the legislator detailed a bill designed to protect Kenyans from elevated fuel expenses by enabling price modifications every fortnight within an officially declared emergency structure.
These proposed modifications arrive with concerns about delays in transmitting global fuel price decreases to consumers, as the Energy and Petroleum Regulatory Authority currently assesses fuel prices monthly.
According to the lawmaker’s proposal, “Under the existing Petroleum Act, 2019 framework, fuel prices receive adjustment monthly by the Energy and Petroleum Regulatory Authority. This causes a lag in transferring the advantages of declining global prices to consumers.”
The suggested amendment would authorize the Energy Cabinet Secretary, after consulting with EPRA, to institute an emergency pricing period in reaction to global disturbances impacting fuel supply and costs.
During this designated period, fuel prices would undergo assessment every 14 days, enhancing responsiveness and modifications in accordance with global market movements.
The suggested legislation also contains a clause forbidding mid-cycle price hikes during the emergency timeframe.
This indicates that during the proclaimed interval, prices either decrease or stay stable, with no upward modifications allowed until the subsequent cycle.
Abuor assured that the amendment would not interfere with the pricing mechanism, noting that factors such as landed costs and inventory levels would continue to be considered.
He characterized the proposal as a reform addressing the timing and responsiveness of the existing pricing mechanism, rather than implementing price controls.
“No modification will occur that threatens supply interruptions or financial hardship. This is not price regulation; it is a timing enhancement within the existing framework,” he clarified in his statement.
Abuor disclosed he will engage with the Ministry of Energy and Petroleum and EPRA to gather perspectives on the suggested modifications.
“I have organized consultation sessions with the Ministry of Energy, EPRA and other interested parties for their feedback on enhancing this proposal to guarantee consumers receive prompt price relief.”