Kenyans Face Gas Price Hike After New Regulations

Consumers fear cooking gas prices in Kenya may spike following the mass closure of shop by retailers due to new Liquefied Petroleum Gas (LPG) regulations that came into force two days ago outlining tough requirements for the traders.

Gas shortage is already being experienced in some parts of the country as traders close their businesses blaming it on the new regulations. Retailers had been given a grace period of six month before the LPG law came to force this week, the law is expected to alter the market radically.

The new regulations had been passed by parliament last year in June with implementation starting on the 1st of January 2020. The law makes it mandatory for retailers to register their businesses and obtain valid licenses from Energy and Petroleum Regulatory Authority.

Some of the requirements impose heavy fines on retailers who do not comply, selling cooking gas without a receipt will attract a fine of Sh50,000.

The rules also provide for a Sh10 million fine for those discharging bulk gas in a location that lacks regulatory approval.

Retailers will also pay more than Sh1 million for selling gas without permits or transporting the commodity in a vehicle not approved by the energy regulator.

Failing to keep gas cylinder records for more than year will also attract a fine of Sh50,000 for each offence.