Fuel Prices Remain Unchanged for December–January Despite Global Oil Market Shifts: What It Means for HFO and IDO in Kenya

Introduction

As Kenya heads into the festive season and the first quarter of 2026, fuel prices have remained unchanged according to the latest Energy and Petroleum Regulatory Authority (EPRA) review covering December 15, 2025 to January 14, 2026. For the third consecutive month, the regulator has held petrol, diesel, and kerosene pump prices steady despite ongoing shifts in global oil markets. This stability brings relief to motorists, transport operators, and industries alike.

For companies such as Heavycraft Supplies Ltd, a trusted dealer of Heavy Fuel Oil (HFO) and Industrial Diesel Oil (IDO) in Kenya, stable fuel prices mean predictability in cost planning and smoother operations for clients relying on energy for power generation and industrial machinery.

What EPRA Announced

According to official publications, EPRA has confirmed that the maximum retail prices of petroleum products in Kenya will remain the same for the December–January pricing cycle. In Nairobi, the pump prices are as follows:

  • Super Petrol: KSh 184.52 per litre
  • Diesel: KSh 171.47 per litre
  • Kerosene: KSh 154.78 per litre

These prices are unchanged from the previous months, even though the global cost of imported fuel has seen mixed movements. EPRA’s decision reflects a policy to balance global cost pressures with domestic economic realities. Kenyans+1

Why EPRA Reviews Fuel Prices on the 15th of Every Month

EPRA conducts monthly price reviews to ensure that fuel prices at the pump reflect the true cost of petroleum products already in the country, while also considering global price trends, taxes, and local distribution costs. Under the Petroleum Act 2019 and related legal notices, EPRA is mandated to calculate maximum retail prices that are fair for both consumers and energy sector investors. Prices are published around the 15th of every month to provide consistency and transparency for planning by businesses and households. Kenyans

These monthly reviews consider several core components:

  1. Landed cost: The price Kenya pays for refined products imported from international markets.
  2. Distribution and marketing margins: Costs associated with moving fuel from ports to retail stations.
  3. Taxes and levies: Including 16% Value Added Tax (VAT), excise duty, road maintenance levy, and other statutory charges.
  4. Exchange rates: Changes in the value of the Kenyan shilling can increase or reduce the local cost of imported fuel.
  5. Global market movements: Shifts in crude oil prices and refined product values.

The goal is to manage fuel prices so that they reflect reality without exposing consumers to abrupt swings driven by external volatility.

Mixed Trends in Global Fuel Costs

Interestingly, while petrol saw a decline in its average landed cost, diesel and kerosene experienced increases in the preceding months. According to data from EPRA’s pricing calculations, the average cost of imported petrol dropped by over 4% in November 2025 compared to October, while diesel rose by over 3% and kerosene by over 5%. Despite this variation, EPRA opted to maintain the existing retail prices, cushioning the market from short-term global fluctuations and giving Kenyan consumers and businesses some stability. Tuko.co.ke – Kenya news.

This data highlights how fuel prices in Kenya are not always directly adjusted in real time with global shifts. Instead, EPRA aims for a balanced approach, smoothing extreme movements and avoiding sudden pump price shocks.

What the Stability in Fuel Prices Means for Kenya

Steady fuel prices during the December–January period are significant for several reasons:

1. Relief for Consumers

The festive season typically sees increased travel, logistics, and household fuel consumption. Stable petrol and diesel prices help motorists budget better for vacations and commutes without worrying about an additional financial burden at the pump.

2. Business Planning Certainty

Transport and logistics companies, which are heavily dependent on petrol and diesel, can plan routes and deliver goods with more predictable fuel prices. For small businesses and large fleets, this translates into controlled operational costs during a high-demand period.

3. Support for Industrial Operations

Manufacturers, processors, and other sectors that rely on Diesel and HFO for generators, furnaces, and heavy machinery benefit from flat fuel prices because it reduces the risk of sudden input cost spikes. This allows for a more predictable cost structure as Kenya heads into 2026.

Heavy Fuel Oil (HFO) and Industrial Diesel Oil (IDO) in a Stable Price Environment

While EPRA’s monthly reviews focus on retail petrol, diesel, and kerosene prices, the industrial energy market also watches fuel prices closely — especially for Heavy Fuel Oil and Industrial Diesel Oil.

  • Industrial Diesel Oil (IDO) is a heavier distillate used in high-capacity generators, boilers, and heavy machinery common in manufacturing and construction.
  • Heavy Fuel Oil (HFO) is used in large industrial applications, including cement plants, shipping, and power generation.

Stability in general fuel prices helps industrial players forecast expenses, negotiate contracts, and prevent abrupt interruptions in operations. For dealers like Heavycraft Supplies Ltd, this stable backdrop allows them to support clients with reliable supply chains at predictable cost points, rather than facing unpredictable price spikes.

Holiday Fuel Demand and Seasonal Patterns

December and January are traditionally months of heightened fuel demand in Kenya. The festive season drives increased travel, resulting in more petrol consumption by motorists and higher diesel usage by buses, matatus, and logistics companies transporting goods across the country.

Even as global crude markets fluctuate due to geopolitical uncertainty or seasonal shifts, EPRA’s decision to hold fuel prices steady during this busy period provides much-needed predictability for motorists and haulers alike. The stability helps avoid sudden fare increases in public transport and keeps logistics costs in check for businesses preparing for the New Year rush.

Additionally, with many Kenyans traveling long distances over the holidays, stable petrol prices offer peace of mind at the pump and help families plan better for travel expenses. Stable diesel pricing also supports boda boda operators and truckers whose livelihoods depend on daily fuel purchases.

How Businesses Should Prepare for 2026

As Kenya moves from the festive season into early 2026, continued monitoring of fuel prices is essential for businesses that depend heavily on energy. Here are key areas companies should focus on:

1. Energy Efficiency Investments

Improving fuel efficiency in vehicles, generators, and machinery can significantly lower operational costs. Businesses should invest in maintenance and technology upgrades that reduce overall consumption.

2. Strategic Fuel Stocking

For sectors that can forecast consumption patterns, buying fuel when prices are stable or expected to remain flat could reduce risks associated with future price volatility.

3. Engagement with Reliable Suppliers

Partnering with established fuel dealers like Heavycraft Supplies Ltd ensures consistent supply of HFO and IDO at competitive prices even when market conditions shift. Experienced suppliers can also provide insights on timing fuel purchases and managing inventory to reduce exposure to future price spikes.

Consumer and Motorist Impacts

For everyday motorists, unchanged fuel prices over the festive and early-year period offer a short respite. Drivers can expect relative consistency in travel costs and can take advantage of stable petrol pricing to plan family trips and errands without the stress of frequent price hikes.

However, drivers should remain mindful that fuel demand tends to peak during holidays, and even with steady fuel prices, congestion and queue times at petrol stations may increase. It is also wise for motorists to adopt fuel-efficient driving practices such as maintaining proper tire pressure, reducing idle time, and planning routes to avoid unnecessary fuel use.

Why Stability Matters

Stability in fuel prices has broader economic implications beyond individual cost savings. It helps control inflation, influences the cost of transporting goods throughout the supply chain, and affects the pricing of essential commodities.

During periods of global oil volatility, steady retail fuel pricing can buffer the Kenyan market against external shocks and provide businesses and households with clarity. Maintaining stable fuel prices also contributes to predictable transport fares and reduced pressure on businesses that must factor fuel costs into their pricing models.

The Role of EPRA and Future Outlook

EPRA’s monthly fuel price reviews are designed to ensure transparency, fairness, and responsiveness to market realities. The 15th-of-the-month review cycle provides consistency for consumers and businesses to anticipate when pricing changes — or periods of steady pricing — will be announced.

Looking ahead into 2026, several factors will likely influence fuel prices:

  • Global crude oil market dynamics
  • Exchange rate movements between the Kenyan shilling and the US dollar
  • Regional demand trends as economic activity rises or slows
  • Fiscal and tax policy changes affecting fuel levies and duties

By keeping close watch on these drivers, stakeholders from motorists to major energy consumers can better prepare for future price movements.

Conclusion

The EPRA December-January pricing cycle has delivered a message of stability: fuel prices in Kenya will remain unchanged through mid-January 2026. This steady pricing environment provides comfort for motorists preparing for holiday travel, businesses planning early-year operations, and industries relying on diesel, HFO, and IDO.

For companies such as Heavycraft Supplies Ltd, this stable outlook reinforces the importance of dependable fuel partners in managing energy costs and operational continuity. Predictable fuel prices help businesses, from logistics firms to manufacturing plants, make informed decisions and remain competitive in a dynamic economic landscape.

As Kenya transitions into 2026, continued vigilance on global and local energy trends will be vital, but for now, the steady fuel prices offer a welcome respite for consumers and the wider economy alike.

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