Cooking gas prices in Kenya now hit 10-month high

Cooking gas in Kenya
The rise in cooking gas prices could be as a result of cartels hoarding the commodity. PHOTO/FILE
Cooking gas prices in Kenya rose to a ten-month high last month after a steady decline since January, according to the Kenya National Bureau of Statistics.

The latest KNBS price report shows that a 13-kg LPG (liquefied petroleum gas) cylinder, which is used mostly in homes, rose to Sh2,393.85 last month up from Sh2,374.92 in August.

The average prices of the commodity were Sh2,954.36, Sh2,846.53, Sh2,629.56, Sh2,529.56, Sh2,424.69, Sh2,387.04, Sh2,376.22, and Sh2,374.92 between January and August.

The cost of refilling a 6kg cylinder has also risen from Sh900 to Sh1,080, a situation that has been blamed on the weakening local currency.

Petroleum products imported into the country are paid in US dollars, making them more costly when the shilling is weak, according to the Energy Regulatory Commission.

However, the Kenya Independent Petroleum Dealers Association (Kipeda) vice chairman Keith Ngaruchi reckons that the sudden rise in cooking gas prices could be as a result of some market players hoarding the commodity to improve their margins.

“Normally when the price of petrol goes up, some people start hoarding gas supplies as they anticipate prices may go up as well,” said Mr Ngaruchi.

The movement of gas prices has tended to be out of sync with that of other petroleum products, a fact that is also blamed on an inefficient supply system.