Fuel shortages loom as dealers protest alleged breach of EPRA price caps

NAIROBI,Kenya Oct 28 – Independent petroleum dealers have threatened to suspend fuel purchases from oil marketing companies (OMCs) over alleged violations of wholesale price caps set by the Energy and Petroleum Regulatory Authority (EPRA), warning that the dispute is causing shortages and threatening the survival of retail outlets.

In a joint statement dated October 27, 2026, the Petroleum Outlets Association of Kenya (POAK) and the Kenya Independent Petroleum Dealers Association (KIPEDA) advised independent operators across the country to stop purchasing petroleum products at prices exceeding the statutory wholesale limits.

The associations accused oil marketing companies of selling fuel above the maximum wholesale prices gazetted by EPRA for the October-November pricing cycle, despite complaints lodged with the regulator and the State Department for Petroleum.

They said 12 days had elapsed since the market opened on October 15 without the alleged violations being addressed.

The dispute centres on wholesale price caps published by EPRA on October 14, which set the maximum price at which oil marketing companies can supply fuel to retailers.

For Nairobi, the maximum wholesale price for super petrol was set at Sh211.80 per litre, while diesel was capped at Sh212.60 and kerosene at Sh204.79.

However, POAK and KIPEDA claim that some oil marketing companies have continued supplying products at rates above the gazetted limits, squeezing the margins of independent dealers and making it difficult for them to operate sustainably.

The associations warned that the pricing dispute was already affecting fuel availability, with independent petrol stations in different parts of the country facing critical stock-outs.

They said operators were being forced to choose between shutting down their businesses and selling fuel at substantial losses to remain operational.

The dealers further argued that the alleged non-compliance undermines consumer protection measures established through EPRA’s regulated pricing framework, which sets maximum prices for petroleum products.

They called on EPRA and the State Department for Petroleum to take immediate regulatory action against companies found to be charging above the prescribed wholesale prices.

The associations also warned that a prolonged dispute could disrupt fuel distribution, given the role independent retail outlets play in supplying motorists and other consumers.

In their communiqué, the dealers urged the government to intervene to restore what they described as lawful trading conditions and prevent a wider shutdown of independent stations.

POAK and KIPEDA said they remained open to engagement with the Ministry of Energy and EPRA to resolve the dispute, but maintained that operators should not continue buying fuel at prices above the published wholesale ceilings.