Kenyans sourcing cheaper fuel from Tanzania

In response to high prices in neighbouring Kenya, Tanzanian petrol stations have seen an influx of Kenyan drivers seeking more affordable fuel options. Due to the current US currency scarcity, petrol costs in Tanzania have increased by 17%, forcing drivers to dig even further into their wallets.

The cost of importing gasoline has increased, and cap prices for petroleum products have risen, according to the Energy and Water Utilities Regulatory Authority (Ewura). This is because of a scarcity that has increased the dollar's value.

Retail gasoline prices will now be transacted at Sh3,199 per litre, up from Sh2,736 per litre last month, for fuel imported through the port of Dar es Salaam. Diesel prices have also gone up, from Sh2, 544 to Sh2, 935 per litre, with only kerosene prices offering some relief by slightly falling from Sh2, 829 to Sh2, 668 per litre.

A litre of diesel costs $1.04 in Tanzania, compared to $1.287 in Kenya, the highest price in the area. This indicates that automobiles and bodaboda riders from Kenya may save $0.247 by refilling in Tanzania.