Committee told electricity prices will remain stable despite fuel hike

Bunge Tower, Parliament Buildings
Wednesday, April 15, 2026
A parliamentary watchdog committee has been assured that the increase in fuel prices will not lead to a rise in electricity prices.

The Public Accounts Committee received the assurance from the Principal Secretary for the State Department for Energy, Alex Wachira, during a meeting today.

During the session, members of the committee raised concerns that the recent sharp increase in petroleum prices will hurt many Kenyans who are already struggling to provide for their families.

On Tuesday, the government announced new fuel prices, with diesel rising by a record Sh40 per litre and petrol increasing by Sh28. The new prices will remain in effect until May 14, 2026, when the next review is due.

Session Chairperson Hon. Nabii Nabwera (Lugari) led MPs in demanding answers from the PS on why the prices were increased, despite earlier government assurances that they would remain stable and that safeguards were in place.

“Kenyans are enraged. The Ministry of Energy assured the country that there would be no change in fuel prices and no crisis, only for the same prices to rise by a record margin. What is the issue?”

Hon. Marianne Kitany (Aldai) noted that the country operates under a government-to-government (G2G) oil agreement, whose main aim is to stabilise fuel supply and reduce pressure on the dollar by bypassing traditional tender systems.

“The G2G deal was meant to protect Kenyans from such shocks. When prices rise, the system should absorb the shocks. So, what has happened in this scenario?” posed Hon. Kitany.

She also asked the PS what measures the State Department would take to cushion Kenyans from the high cost of electricity that may result from the increase in diesel prices, as well as the rising cost of transport and food.

Committee members emphasised that the government must ensure electricity prices do not increase following the recent rise in petroleum prices.

In response, the Principal Secretary assured the committee that electricity prices are unlikely to rise significantly, explaining that only a small portion of electricity in the national grid is generated using diesel.

“We generate power through hydropower, geothermal, wind, solar, and diesel. Diesel generators are mainly used in off-grid areas,” he said.

“As a ministry and State Department, we will do our best to ensure that power prices remain as stable as possible. We are increasing generation from hydropower and have also increased power imports from Ethiopia and Uganda,” he added, noting that any potential adjustments in electricity prices would be minimal.

The PS had appeared before the committee regarding a forensic audit report on wayleave compensation in seven donor-funded projects, which the committee examined.