Matatu Fares Up 10%: Operators Pass On EPRA Fuel Rise as Commuter Costs ClimbMatatu Fares Up 10%: Operators Pass On EPRA Fuel Rise as Commuter Costs Climb

The rise matters because public transport is the first place a fuel increase reaches households. Nairobi petrol now has a ceiling of KSh 226.96 ($1.75) a litre, up KSh 12.93 ($0.10) from KSh 214.03 ($1.65), according to EPRA's pump price schedule for the month to 14 November.

As Mwenendo earlier reported, petrol costs KSh 12.93 more a litre in Nairobi from today.

What operators say and what is still unclear

Karakacha said members were told to raise fares because operators are in business and need to make a profit. He condemned the fuel increase and said it broke an earlier understanding with President William Ruto to keep diesel prices low. On 22 May at State House Mombasa, the President had pledged a KSh 10 ($0.08) a litre cut in diesel prices for the June and July pricing cycle, after which operators called off a planned nationwide strike.

The announcement does not set out fare amounts. It does not say whether the 10% rise applies on every route, and it does not record any government response. Operators on individual routes may set their own timing, so the rise a commuter sees will depend on the route and the operator.

Diesel is the fuel that matters most to matatus and to goods transport. Diesel now has a ceiling of KSh 227.76 ($1.75) a litre, up KSh 9.90 ($0.08), and kerosene rises KSh 28.49 ($0.22) to KSh 219.87 ($1.69). Percentage rises at the pump were 6.04% for petrol, 4.54% for diesel and 14.89% for kerosene.

What a 10% fare rise costs a commuter

The size of the burden depends on the route, so a simple illustration helps. This is a worked example, not a reported fare. A commuter who pays KSh 100 ($0.77) each way would pay KSh 110 ($0.85) after a 10% rise, an extra KSh 10 ($0.08) a trip. Over 44 trips in a 22-day working month, that adds KSh 440 ($3.39).

For a household with two or more commuters, or a worker on a long route with a higher fare, the monthly extra is larger. Karakacha also apologised to parents who had budgeted for transport during school closures, a group the rise will hit directly.

Pricing questions and the inflation backdrop

The Motorists Association has also condemned the EPRA review. It says landed costs rose 11.81% for petrol, 11.32% for diesel and 9.41% for kerosene, yet kerosene had the largest pump rise. The association has demanded a detailed breakdown of the pricing, an independent audit of the government-to-government fuel import arrangement and a review of taxes and levies, and has warned it could organise peaceful demonstrations if its concerns are not addressed.

EPRA has said September import costs for petrol and diesel rose by more than 11%, driven by Middle East tensions. The fare rise lands as inflation is already climbing. Mwenendo reported that the Central Bank held its rate at 8.75% on 7 October, with overall inflation at 6.80% in September, up from 6.60% in August.

The committee said it would act further if oil prices or second-round effects require it, and higher fares are one of those second-round channels.

Whether the 10% rise holds will depend on how many operators apply it and on whether the government responds to the call for lower fuel taxes. Readers who commute daily should check their route's fare with their operator, since the instruction went to association members and no fixed national tariff has been published.