Energy and Petroleum Regulation Authority (EPRA) has increased fuel prices despite a High Court order temporarily suspending the implementation of the Finance Bill in a case filed by Busia Senator Okiya Omtatah and six other activists.
The 8 per cent VAT increase means that petrol will retail at Kes195.5 in Nairobi and most parts of the country, while Diesel will sell at Kes179.8 per litre.
EPRA made the announcement shortly after the High Court issued a temporary injunction.
Justice Mugure Thande issued conservatory orders on Friday, and the State was required to respond by Tuesday, July 4.
The injunction effectively prevents the government from enforcing any new Act taxes, including the 8% VAT increase on petrol that is scheduled to go into effect on Saturday.
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President William Ruto signed the Bill on Monday following the National Assembly's adoption of his tax measures despite opposition from the Opposition Azimio coalition and civil society.
The leader of Azimio, Raila Odinga, has already called for rallies against the new Act beginning on July 7.
Speaking during a rally in Kamukunji grounds on Tuesday, he accused President William Ruto of being indifferent to Kenyans' problems.
“The president does not listen to Kenyans. He does not care and that is why we must go to the streets because that is the only language he understands,” Raila said.
In the application before the court, petitioners contested the passage of twenty-two sections of the Act “which were not in the Bill but were introduced on the floor of the National Assembly.”
They also contested the inclusion of 40 other clauses, stating that the Senate's approval of the aforementioned tax proposals was essential.
The petitioners also criticised the inadequate level of public participation in the legislative process