The Kenya Revenue Authority (KRA) has collected a total of Ksh 119.7 billion from the Roads Maintenance Levy in a year to June 2025.
According to the authority, the collection for 2024/25 fiscal year which increased by 50.9pc was as a result the increase in the levy from Ksh 18 per litre of fuel to Ksh 25 per litre of fuel.
“Further, oil volumes notably grew by 13.0% in July-June 2024/25 mainly from petrol, diesel, and other oil products (coal, electrical energy, lubricating greases, etc.) which grew by 10.7%, 13.8% and 13.7% respectively,” said Dr Lilian Nyawanda KRA Commissioner for Customs and Border Control.
The levy has been a subject of discussion lately after Kiharu Member of Parliament Ndindi Nyoro made claims that the government is using collected funds as security to acquire up to Ksh 175 billion to clear pending bills in the roads sector, a statement rejected by Energy and Petroleum Cabinet Secretary Opiyo Wandayi.
“The Roads Maintenance Levy was reviewed in July 2024 to Ksh 25 per litre from Ksh 18 per litre on super petrol and diesel products. This is pursuant to approval by parliament for the adjustment to support maintenance of the expanding road network. Since then, there has been no revision of taxes as alluded to in the press statements,” said Wandayi.
Wandayi attributed the recent increase in pump prices announced by the Energy and Petroleum Regulatory Authority (EPRA) on Monday to increase in prices fuels imported into the country and government’s failure to tap the fuel stabilization fund.
Data from the energy ministry indicate while there were no new taxes on fuel during the period, oil marketers recorded an increase in gross margins which is part of fuel price computation. Margins for super petrol increased by Ksh 5 to Ksh 17.39 per litre while that of diesel went up by Ksh 4.95 to Ksh 17.31 and kerosene increased by Ksh 4.88 to Ksh 17.24.
Despite the hikes, KRA says there increase in fuels imported into the country during the perod.
“Further, oil volumes notably grew by 13pc in July-June 2024/25 mainly from petrol, diesel, and other oil products (coal, electrical energy, lubricating greases, etc.) which grew by 10.7pc, 13.8pc and 13.7pc respectively,” added Nyawanda.
KRA also reported a 15pc increase in Railway Development Levy (RDL) which grew to Ksh 36.8 billion.
The hike in the RML further pushed up oil taxes to Ksh 338.28, a 12pc increase when compared to the same period last year.
