In a move that will bring relief to Tanzanian residents, the country’s Energy and Water Utilities Authority (EWURA) has announced a reduction in fuel prices for the month of November.
The irony though is that just like Kenya’s energy regulatory authority (EPRA), The Tanzania counterpart (EWURA) cited the global oil market trends as the driving force behind this decision. According to EWURA, the global oil prices have dropped.
Kenyans will no doubt be left wondering if the global oil market trends gave them the short end of the stick.
Record fuel prices in Kenya have contributed to increased cost of living. This is because Kenya’s economy mostly relies on fuel for manufacturing, food production, transport and household use.
The situation will no doubt worsen if the prices will climb to the record Ksh 300 per litre that Energy CS Davis Chirchir announced.
While addressing the National Dialogue Committee (NDC), CS Chirchir expressed concerns that the ongoing Israel-Hamas conflict could trigger a surge in fuel prices, potentially pushing the prices to a record high of Ksh300 per liter.
The Energy Cabinet Secretary’s remarks came in response to inquiries about the Ministry’s efforts to shield Kenyan citizens from the escalating cost of living.
Currently, the price of one liter of petrol stands at Ksh217, marking the highest historical rate.
In a statement released on October 31, Tanzania’s EWURA attributed the price decrease to a global reduction in oil prices.
“Changes in prices of petroleum products in November 2023 are mainly due to the decrease in the world oil price by an average of 5.68%, and a decrease in premiums for the importation of petroleum products by an average of 13% for PMS and 25% for AGO, reduction of the production of petroleum products by OPEC+ and economic sanctions on Russia,” EWURA stated.
These new prices in Tanzania came into effect on November 01. They will also apply to various Tanzanian regions, including Dar es Salaam, Tanga, and Mtwara.
Regarding the price reductions, EWURA announced that petrol prices in the Dar es Salaam region would be reduced to Tsh 3274 (Ksh 197.62) per liter, down from the previous Tsh 3281 (Ksh 198.04).
Diesel prices in the same region were also lowered to Tsh 3374 (Ksh 203.65) per liter from Tsh 3448 (Ksh 208.12).
EWURA further explained that the reduction in import duties on petroleum, with a decrease of 13% for petroleum and 25% for Automated Gas Oil (AGO), contributed to these price cuts.
