Kiharu MP Ndindi Nyoro has criticised the recent surge in
fuel prices, dismissing the government’s explanation as misleading and
incomplete.
Speaking out on the issue, Nyoro challenged the Ministry of
Energy’s claim that the hike is due to rising global oil prices — pointing out
that the highest global oil prices were actually recorded last year, not this
year.
Nyoro argued that the true culprit is excessive taxation and
the securitisation of fuel levies.
He said over Sh80 shillings per litre of petrol and Sh76 per
litre of other fuels paid by Kenyans at the pump go directly into taxes and
levies.
“In an oil-importing country like Kenya, the only effective
tool the government has to stabilise fuel prices is adjusting taxes. Sadly,
this is where the government is failing,” he said.
He further said last year, at a time when global fuel prices
were declining, the government quietly introduced a Sh7 fuel levy.
This, he claims, prevented Kenyans from benefiting from
lower global prices.
Even more concerning, Nyoro alleged, is the government’s
move to securitise this levy and borrow Sh175 billion against it — funds that
are not reflected in the official debt records and were never approved by
Parliament. “This raises serious accountability and legal concerns,” he warned.
Nyoro demanded transparency regarding the amount borrowed,
the lenders involved, the interest rates and the implications for future
budgets.
He cautioned that by spending money collected in advance
from fuel levies, the government is tying the hands of future administrations
in budgetary decisions.
“If we continue allowing public levies to be used as
collateral for loans without parliamentary oversight, what will stop future
lenders from securitising VAT, PAYE, or NHIF? What will remain of Kenya’s
financial sovereignty?” he questioned.
The MP is calling for urgent transparency from the National
Treasury, a public audit of all off-book borrowing, and a nationwide dialogue
on sustainable fiscal management.
