Ruto Directs Another Ksh10 Diesel Cut to Ease Fuel Costs Slightly

President William Ruto has instructed the Energy and Petroleum Regulatory Authority to implement another reduction in diesel prices by Ksh10 per litre for the upcoming June to July pricing window.

The directive came after an overnight meeting at State House with public transport operators concerned about recent fuel price movements. Speaking during the engagement, Ruto said the adjustment aims to stabilise pump prices and provide some cushion to consumers and operators.

Once implemented, diesel in Nairobi will retail at Ksh222.86 per litre, according to the planned revision. Kerosene will drop to Ksh191.38 while super petrol settles at Ksh214.25 from June 15.

Construction industry players closely watch diesel prices because the fuel powers heavy machinery, excavators, tipper trucks and generators on sites across the country. A sustained drop can ease pressure on project budgets, particularly for road works, housing developments and large infrastructure packages where fuel often accounts for a notable share of operational expenses.

The latest intervention follows a pattern of government attempts to manage fuel costs amid global market fluctuations and local distribution challenges. For contractors running fleets of plant equipment, even modest reductions help contain the cost of materials haulage from quarries and cement plants to urban project locations.

Ruto also used the occasion to address broader transport sector issues. He directed the Transport Ministry to engage banks for cheaper loans targeting matatu owners and to collaborate with the Insurance Regulatory Authority on claims processing.

These measures matter to construction logistics. Many small and medium contractors rely on the same road networks and transport ecosystem used by public service vehicles. Disruptions or cost spikes in that chain frequently translate into delayed deliveries and idle equipment time on site.

The president assured adequate fuel supply in the country during his address from State House in Mombasa. Such statements carry weight for the industry, which needs reliable diesel availability to maintain project timelines on major ongoing works.

Kenya’s construction sector has faced rising input costs in recent years, with fuel forming a key variable. While this Ksh10 cut offers limited relief, it arrives at a time when several counties continue with road upgrading programmes and private developers push forward with residential and commercial builds in Nairobi and its environs.

Analysts note that transport operators had raised concerns after the previous review cycle. The government’s quick response indicates sensitivity to feedback from the sector, which indirectly supports smoother movement of construction materials.

No immediate details emerged on how the price cut will be formally gazetted, but industry sources expect the Energy and Petroleum Regulatory Authority to publish the new schedule in coming days.

For contractors, the adjustment may help trim variable costs on active projects. However, longer-term stability will depend on international crude prices and the shilling’s performance against the dollar.

The development comes as Kenya continues to expand its infrastructure footprint, with various road corridors, energy projects and urban developments underway. Lower diesel costs, even incremental, can support better cash flow management for firms handling these contracts.