Matatu Owners’ Statement On Fare Prices After EPRA’s Fuel Reduction
With the recent Ksh6 drop in diesel prices, there was an expected impact on matatu fares.
In an interview with Brendan Marshall, a senior member of the Matatu Owners Association (MOA), it was revealed that most matatus would keep their current rates despite the drop in fuel prices.
Marshall explained that this decision is influenced by a number of factors, including the recent increase in insurance rates.
He pointed out that matatus with third-party coverage are now paying Ksh600 more for their insurance. Consequently, with these additional costs, it would be difficult to lower the fare rates.
He also described how investors in the transportation industry were spending more on spare parts and servicing their vehicles.
On the other hand, he stated that most Kenyans travel during peak hours, when there is a traffic jam, so vehicles consume more fuel on the road.
However, he stated that some Saccos would prefer to change their off-peak hours to accommodate Kenyans.
Summary for the maximum retail prices of petroleum products for Nairobi: June – July Cycle. For more information click on>> https://t.co/mMD38xEjCj ^DC pic.twitter.com/D3CGvKpRwE
— Energy and Petroleum Regulatory Authority (@EPRA_Ke) June 14, 2024
Off-peak hours are typically when there is less traffic on the road.
This is mostly between 11 a.m. and 4 p.m. During off-peak hours, fares are usually Ksh 20-50 lower than peak-hour rates.
As a precaution, some matatus may decide to extend off-peak hours by one hour.
“We always maximise our peak hours. That is when people are travelling and they will pay the prices set. So we will probably extend the off-peak from 4 pm to 5:30 pm,” he added.
EPRA reduced fuel prices on Friday in response to a drop in international oil prices and the stabilisation of the shilling.
“In the period under review, the maximum allowed petroleum pump price for Super Petrol, Diesel and Kerosene decreases by Ksh3.00, Ksh6.08 and Ksh5.71 per litre respectively.
“In Nairobi, Super Petrol, Diesel and Kerosene will now retail at Ksh189.84, Ksh173.10 and Ksh163.05 effective midnight for the next 30 days,” EPRA announced.
Matatu Owners’ Statement On Fare Prices After EPRA’s Fuel Reduction
