Households to Pay More as Cooking Gas Price Hikes
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- April 23, 2021
Kenyan households are expected to pay up to KShs 350 more for cooking gas for domestic consumption following the introduction of the 16% value added tax on the commodity.
The price increase is set to start on 1st July according to the Kenya Revenue Authority.
The 13 kilogramme gas which is currently retailing at KShs 2250 will increase to KShs 2600 when the tax measure is imposed.
Rising energy prices will lead to higher inflation and decelarate economic recovery during the COVID-19 pandemic.
The rise in LPG prices comes at a time when fuel and electricity rates are high.
In a 2019 census data, it shows that 53% of homes in urban centers rely on cooking gas for domestic use because it’s faster and clean for use, compared to 5.6% of rural households.
Kenyans have been enjoying low price of cooking gas as from October 2016 after the Treasury scrapped the tax on LPG to cut costs and boost the uptake to those depending on kerosene and charcoal.
Kenyans are currently experiencing high cost of living after their has been rise in the cost of a loaf of bread, maize flour and fuel.
