Fuel Supply Crisis Looms in Kenya

 

(Posted 30th October 2026)

 

Kenya’s petroleum sector is facing fresh uncertainty after two associations representing independent petrol station owners threatened to suspend fuel purchases from suppliers charging above the wholesale price limits set by the Energy and Petroleum Regulatory Authority (EPRA).

In a joint statement issued on October 27, 2026, the Petroleum Outlets Association of Kenya (POAK) and the Kenya Independent Petroleum Dealers Association (KIPEDA) said independent dealers were struggling to obtain fuel at prices that allowed them to operate sustainably.

The associations allege that some oil marketing companies have been charging independent dealers above the maximum wholesale prices published by EPRA on October 14. They say the problem began when the latest pricing cycle took effect on October 15, leaving some stations facing limited stock and shrinking margins.

The dealers have urged their members to stop purchasing petroleum products from suppliers charging above the gazetted wholesale limits. They are also calling on EPRA and the State Department for Petroleum to investigate the complaints and enforce the applicable pricing rules.

The dispute comes at a difficult time for motorists. For the October 15 to November 14 pricing period, Nairobi’s maximum pump prices rose to KSh226.96 per litre for Super Petrol, KSh227.76 for diesel and KSh219.87 for kerosene.

If the disagreement persists, independent stations could face further stock-outs, potentially affecting access to fuel in areas where these outlets serve local communities. Transport operators, businesses and households could also feel the effects of any disruption to distribution.

However, the threatened halt in purchases does not automatically mean a nationwide fuel shortage will occur. The scale of any disruption will depend on how many dealers participate, the availability of alternative suppliers and whether the regulator and industry players resolve the dispute.

The immediate issue is whether wholesale pricing rules will be enforced and whether independent dealers can obtain fuel at prices that allow them to continue operating. A timely resolution will be important for dealers, suppliers and consumers who are already dealing with higher fuel costs.

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