Amidst intense criticism surrounding the recent fuel prices, allies of President William Ruto came forward on Monday, July 17, to defend him, citing ongoing court proceedings as the reason for his inability to intervene.
The prices, which were based on the 16% Value Added Tax (VAT) on fuel, were calculated according to provisions in the Finance Act, 2023, which have since been suspended by the High Court.
During an interview on Citizen TV, Belgut Member of Parliament Nelson Koech explained that Ruto had refrained from intervening due to the pending court case. Koech pointed out the contempt of court charges faced by Daniel Kiptoo, the Managing Director of the Energy and Petroleum Regulatory Authority (EPRA), regarding the June 30 fuel price review.
Koech stated, "He is yet to intervene because it is a subject of court, and Okiya Omtatah has even gone to sue EPRA boss Kiptoo for contempt of court."
Tigania West MP John Mutunga, speaking on the same talkshow, added that EPRA is currently caught in a difficult situation, trying to balance the need for increased revenue and public interest. He further explained that the court would determine the grievances raised by Kenyans regarding the price calculation criteria.
"Once the court decides the matter finally, we will get a clear direction," said the United Democratic Alliance MP.
Following the enactment of the Finance Act, which raised VAT on fuel products from 8% to 16%, EPRA increased fuel prices by Ksh13 as of July 1. However, in a subsequent review on July 14, the price of Super Petrol was reduced by Ksh0.85 to Ksh194.68, while the price of diesel remained the same at Ksh179.67.
EPRA's price review statement read, "Taking into account the weighted average cost of imported refined petroleum products, the changes in the maximum allowed petroleum prices in Nairobi are as follows: Super Petrol and Kerosene decrease by Ksh0.85 and Ksh3.96 per litre respectively while Diesel remains unchanged."
The announcement of the fuel prices sparked outrage among Kenyans, given that the High Court had suspended the Finance Act, 2023 pending a hearing and determination of the matter. The suspension was further extended on Monday, July 10, following a lawsuit filed by Busia Senator Okiya Omtatah.
In an earlier interview, Omtatah stated that he had notified EPRA's boss about the court's ruling, emphasizing that he would file contempt proceedings against the agency if they disregarded the court orders.
As the court proceedings continue, Kenyans await a resolution regarding the fuel prices and hope for a reduction that aligns with public interest.