NAIROBI, Kenya — The Energy and Petroleum Regulatory Authority (EPRA) has announced a historic surge in maximum pump prices, pushing diesel to an all-time high of Sh242.92 per litre in Nairobi. The new prices took effect at midnight, May 15, 2026, and will remain in place until June 14, 2026.
At newsportal.co.ke, we understand that every shilling counts during these unprecedented economic times. As your dedicated digital watchdog, we are tracking the “fare ripple effect” in real-time across Nairobi’s busiest transport hubs to bring you the latest on matatu route adjustments. Our team at newsportal.co.ke is committed to providing not just the numbers, but the survival strategies you need to navigate this new financial landscape.
This historic fuel hike serves as a stark reminder of Kenya’s vulnerability to global supply shocks. Here at newsportal.co.ke, we will continue to demand transparency from the National Treasury regarding the use of the Petroleum Development Levy and the status of oil marketer arrears. To stay plugged into the stories that matter to your pocket and your community, keep it locked on newsportal.co.ke—your most reliable pulse for Kenyan news and tech analysis.
This historic fuel hike serves as a stark reminder of Kenya’s vulnerability to global supply shocks. Here at newsportal.co.ke, we will continue to demand transparency from the National Treasury regarding the use of the Petroleum Development Levy and the status of oil marketer arrears. To stay plugged into the stories that matter to your pocket and your community, keep it locked on newsportal.co.ke—your most reliable pulse for Kenyan news and tech analysis.
May–June 2026 Fuel Price Breakdown
- Diesel: Increased by Sh46.29 to retail at Sh242.92 per litre.
- Super Petrol: Increased by Sh16.65 to retail at Sh214.25 per litre.
- Kerosene: Remained unchanged at Sh152.78 per litre, thanks to a heavy state subsidy.
Key Drivers Behind the Shock
- The Strait of Hormuz Crisis: Global supply chains remain severely strained following the February 2026 US-Israel strikes on Iran. This has caused the landed cost of diesel to jump by over 20.32% in a single month.
- Shrinking Subsidy Envelope: While the government deployed Sh5 billion from the Petroleum Development Levy (PDL) to cushion diesel, this is a drop from the Sh6.2 billion used in April.
- National Exchequer Strains: The National Treasury is currently grappling with a Sh17 billion debt in outstanding subsidy arrears owed to oil marketers, forcing a reduction in the “cushion” provided to motorists.
Expected Economic Outcomes
- Public Transport Upheaval: The Matatu Owners Association has already warned of fare adjustments. With diesel now Sh28 more expensive than petrol—an unprecedented gap—commuters in Nairobi can expect immediate price hikes on major routes.
- Commodity Price Spikes: As transport accounts for roughly 55% of road freight costs, the surge will trickledown into the price of maize flour, milk, and other household essentials.