Members of Parliament have raised concern over continued high fuel prices in the country, questioning the effectiveness of the Government-to-Government oil import deal, which has so far cost taxpayers more than Sh1.4 trillion.

Energy and Petroleum Cabinet Secretary Opiyo Wandayi appeared before the National Assembly’s Energy Committee on Tuesday, where he faced tough questions about the rising pump prices, despite the renewed fuel arrangement that was meant to cushion Kenyans from market fluctuations.

Committee chairperson and Nyatike MP Tom Odege criticised the ministry for failing to deliver relief at the fuel pumps, saying Kenyans have not felt the impact of the G-to-G agreement.

“Kenyans are watching you today, your technical team can cite freight and premium figures, but what people care about is why prices remain high. We expect you to defend their interests,” Odege said.

Wandayi, however, blamed the recent fuel price surge on international market dynamics, citing a 6 to 9 per cent rise in global oil prices between May and June 2025. He said this had led to price increases of Sh5.10 per litre for petrol, Sh5.90 for diesel, and Sh5.74 for kerosene.

The Energy and Petroleum Regulatory Authority (EPRA) on Monday announced an average increase of Sh9 per litre across all fuel categories in its latest monthly pricing review.

EPRA attributed the hike to higher international landing costs and pressure from the foreign exchange market.

The G-to-G fuel deal, introduced in March 2023, allows the importation of petroleum, diesel and jet fuel through a deferred payment plan of up to 180 days.

The programme, coordinated by the Ministry of Energy, was expected to ease pressure on Kenya’s foreign exchange reserves and stabilise fuel prices.

According to ministry data presented to the committee, 170 fuel shipments have been delivered between 2023 and June 2025, amounting to $12.34 billion (Sh1.6 trillion) worth of petroleum products. Letters of credit worth $10.9 billion (Sh1.41 trillion) have already been paid.

Wandayi sought to defend the programme, shifting some of the blame to lawmakers for passing multiple taxes that have a direct impact on the final price of fuel.

“So, it is not this parliament that determines the price of food, there are so many things we can get into because there are issues of taxes, which country versus which country, which country taxes its citizens more. So, we need to really get the time and I don’t want to go into those because I have so many points,” said Wandayi.

He also compared Kenya’s freight and premium costs with Tanzania, saying Kenya had achieved lower charges in July—$84 (Sh10,899) per metric tonne for diesel, $78 (Sh10,121) for petrol, and $97 (Sh12,587) for jet fuel. In contrast, Tanzania paid $135 (Sh17,518) for diesel and $190 for jet fuel.

But MPs pushed back, arguing that the lower landing costs had not translated into reduced pump prices for consumers.

“To further clarify, I did not in any way imply that Parliaments or the National Assembly, for that matter, plays a role in fixing petroleum product prices. No. But I did say that those taxes and levies that are imposed on petroleum products have to be approved by Parliaments,” Wandayi added.