NAIROBI, Kenya, Jul 8 – Transport Cabinet Secretary Kipchumba Murkomen has assured Kenyans that the government with explore ways to maintain roads without increasing fuel prices following concerns raised during the collection of public views.
In a statement, the Cabinet Secretary indicated that many are worried that an increase in the road levy will result in a rise on the cost of living.
“From the views we have received, many Kenyans are worried that an increase in the levy will result in a rise in the cost of living,” Murkomen stated.
The CS promised to consider all the recommendations made by the public before making a final decision.
“We will explore ways of getting the resources needed to maintain roads without raising the cost of living through an increase in petroleum prices,” he said.
“As suggested by Kenyans, we will only make this decision when we are certain that any revenue measures adopted will not result in a rise in the cost of living,” he added.
Last month, Murkomen had told the Parliamentary Finance and National Planning Committee that the levy was last reviewed in 2016 and thus needs review.
Currently, the levy is set at Sh18 per liter.
The CS said that the hike in the tax will see the government collect an additional Sh32 billion. Now, the fund collects Sh83 billion annually.
Extra cash, he added, will allow the administration to repair and build roads, with a maintenance gap of Sh315 billion between 2023 and 2027 against the projected Road Maintenance Levy Fund.
If the new proposal is passed by MPs, this will push up fuel prices, which currently stand at record highs.