The Road Maintenance Levy Fund (RMLF) has been increased from Ksh 18 to Ksh 25 despite fuel price reductions by the Energy and Petroleum Regulation Authority (EPRA)
The tax increased despite an assurance from former Transport CS Kipchumba Murkomen that Kenyans' opinions would be considered.
"We will only make this decision when we are certain that any revenue measures adopted will not result in a rise in the cost of living," Murkomen stated on 8 July, adding that the government will be careful not to raise the Levy without increasing the cost of living.
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At the time, Murkomen stated that Kenya is facing a maintenance deficit of Ksh.78 billion for 2024, expected to rise to Ksh.315 billion by the fiscal year 2028/2029.
Murkomen indicated that Kenya has a maintenance deficit of Ksh.78 billion for fiscal year 2024, which will likely rise to Ksh.315 billion by fiscal year 2028/2029.
He noted that Kenya's road network has grown dramatically, from 166,451 km in 2016 to 239,122 kilometers, demanding frequent repair.
“As suggested by Kenyans, we will only make this decision when we are certain that any revenue measures adopted will not result in a rise in the cost of living,” he noted.
The Kenya Roads Board (KRB) had submitted three ideas for accomplishing the RMLF hike, including fixing the tax as a percentage of gasoline import cost, which would effectively entail that the fee ceases to be a specific rate because it would vary based on international rates.
The third option was to keep the current rate (Ksh.18/L), increase it by 39.0% to Ksh.25/liter, and undertake periodic evaluations every three years.
RMLF's last review occurred in July 2016, when it was raised from Ksh.12 to Ksh.18 per litre.
The price adjustments now mean that Nairobi residents will pay a maximum of Ksh.188.84 for a liter of super petrol, Ksh.171.60 for a liter of diesel, and Ksh.161.75 for a liter of kerosene.
