The Motorists Association of Kenya has accepted Monday’s decrease of fuel costs, by the biggest margin ever before, saying it will help spur economic growth.
In an announcement on Tuesday, executive director Samuel Onyango said economic development relies upon the affordable movement of goods and human resource.
“This drop will increase the Gross Domestic Product and reduce poverty. Construction, food prices and business trips will be easier,” he said.
During its monthly fuel prices review on Monday, the Energy Regulatory Authority reduced the price of super petrol by Sh9.33 to retail at Sh104.21 down from Sh113.54 in December.
Diesel went down by the highest margin of Sh10.04 to retail at Sh102.24 down from Sh112.28 in December.
Kerosene was cut by Sh3.52 to retail at Sh101.70 down from Sh105.22.
This was the highest fuel price reduction in as many months for petrol and diesel.
Onyango said matatu operators should now have no excuse for not lowering fares.
Bus fares went up on many routes following the re-enforcement of ‘Michuki rules’ on November 12.
The rules, which were first introduced by former Transport Minister the late John Michuki, had been abandoned or failed to be enforced fully leading to an upsurge in road carnage that claimed many lives.
“Transporting of goods and building materials will be cheaper. We expect taxi fares to go down too,” Onyango said.