Economy & Politics Higher diesel prices drive up costs for transportersA worker at a petrol station in Eldoret town adjusts fuel prices upwards on August 15, 2016. Public transport and farmers will continue bearing the brunt of rising fuel costs after the price of diesel jumped the most for two months in a row. Wave of inflationThe higher costs look set to erode the purchasing power of motorists, push up operating costs for transporters and farmers, who could then pass the additional costs on to consumers, triggering a wave of inflation. The Energy Regulatory Commission (ERC), which adjusts fuel prices every month, said the new prices were driven by the fact that the consignment to be consumed this month was bought when global oil prices had increased. Petroleum prices vary across Kenya due to transport costs that reflect how far a location is from Mombasa port where imported consignments land and are stored.

Source: The North Africa Journal March 14, 2017 14:11 UTC