In summary

  • Passengers moving from Nairobi estates to CBD will be charged an extra 10 or 20 shillings
  • Bus fares from Western to Nairobi and back will increase by between 200 to 300 shillings

Matatu Owners Association (MOA) has announced a significant adjustment in fares, citing the recent increase in fuel prices by the Energy Petroleum Regulatory Authority (EPRA).

 The MOA chairman, Albert Karakacha, stated that the fare increase of 30 percent is necessary to offset the rising costs of fuel.

“The sharp increase in fuel cost coupled with other operational expenses including an increase on the cost of spares parts has forced us to reevaluate our pricing structure to ensure our continuity stability of our services,”he said

Additionally, he highlighted that the prices of vehicle spare parts and tires have also surged, further burdening Matatu owners.

“Effective 5th July 2023 passengers can expect a moderate increase of between 30% of the current fares charged across various routes including town service and long distance travelers,”he added.

The fare adjustment will impact passengers traveling across the country, with those commuting to and from the Central Business District (CBD) facing an additional charge of 10 to 20 shillings.

Court order

The decision comes after EPRA’s move on June 30th to raise fuel prices, with petrol retailing at Sh13.49, diesel at Sh 12.39, and kerosene at Sh 11.96 in Nairobi.

The fuel price hike is a consequence of the Finance Act 2023, which has doubled the Value Added Tax (VAT) on fuel from 8 percent to 16 percent.

 It is noteworthy that EPRA’s announcement to increase fuel prices contradicted a court order that had prohibited the government from implementing the Finance Bill 2023. Busia Senator Okiya Omtatah had taken the matter to court, challenging the bill’s validity.

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