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Newsunplug Kenya > Blog > Business > Relief as cooking gas prices drop on tax cuts
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Relief as cooking gas prices drop on tax cuts

hallanaija
Last updated: July 28, 2023 6:18 am
hallanaija
2 years ago
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Epra director general Daniel Kiptoo. FILE PHOTO | DIANA NGILA | NMG
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Cooking gas prices have dropped below the Sh3,000 mark for the 13-kg cylinder for the first time since July after the State scrapped three taxes on the commodity that are now subject to a case in court.

President William Ruto’s administration, through the Finance Act, exempted cooking gas from the 8.0 percent Value Added Tax (VAT), the 3.5 percent Import Declaration Fees and the 2.0 percent Railway Development Levy.

The taxes are against last month’s court order that suspended the Finance Act, 2023.

“The cost of refiling gas cylinders has gone down mainly due to the removal of taxes,” said Energy Petroleum Regulatory Authority director-general Daniel Kiptoo.

Under the new price changes, Rubis Energy — the retailers of Shell branded products — are selling their K-Gas 13-kilogramme gas at Sh2,490 while the six-kilogramme commodity is retailing at Sh1,060.

Rubis was selling the 13kg- LPG and the six-kilogramme commodity at sh2,800 and Sh1,260 respectively.

A 13-kilogramme cylinder from Shell/Vivo’s Afrigas is retailing at Sh2,780 while refiling the 6-kilogramme cylinder now costs Sh1,190.

The oil marketer was selling the 13-kilogramme and 6-kilogramme of the commodity at Sh3,300 and Sh1,350 before the taxes were scrapped.

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TotalEnergies is refiling the 13-kilogramme and 6-kilogramme cylinders at Sh2,900 and Sh1,280 respectively.

It was retailing the 13-kilogramme and 6-kilogramme of the commodity at Sh3,300 and Sh1,540 before the tax exemption.

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