Kampala currently has the cheapest fuel in East Africa, while Nairobi remains the most expensive, followed by Kigali and Dar es Salaam, according to regional pump price surveys as of April 15.
The ranking comes in the wake of a fresh fuel price increase in Kenya, where authorities have raised diesel by 40 shillings per litre and petrol (PMS) by more than 28 shillings, widening the gap between Nairobi and neighbouring capitals.
“Based on current surveys of Nairobi, Kampala, Kigali and Dar es Salaam, Kampala now has the most favourable pricing in East Africa,” said regional fuel marketing consultant Peter Ochieng. “That’s something for Ugandan consumers to note. It’s always good to comment when things are done well.”
Uganda’s position at the bottom of the regional price table comes despite a six-week upward trend in local fuel prices, driven largely by geopolitical tensions in the Middle East, particularly around the Strait of Hormuz. After holding steady for more than a year at about Shs5,080 for petrol and Shs4,950 for diesel, prices at Ugandan pumps have risen to an average of Shs5,400 for petrol and Shs5,350 for diesel as of Monday.
The Ministry of Energy and Mineral Development (MEMD) and the Uganda National Oil Company (UNOC) have maintained that fuel supply remains stable, with a 119-million-litre petrol shipment expected to dock at Mombasa Port. Energy officials have also urged oil marketing companies not to exploit consumers, despite pressure from a weakening exchange rate, currently averaging around Shs3,720 to Shs3,730 per US dollar.
According to Mr Ochieng, regional fuel prices are shaped by five key factors: international refined product prices, freight and trader premiums, handling costs at ports such as Mombasa and Dar es Salaam, exchange rate movements, and domestic taxation, including excise duty.
“Right now, the landed cost plus tax structure leaves Kampala lower than Nairobi and Kigali, even after Uganda’s recent price increases,” he said. “But this position can change quickly if the dollar strengthens or crude oil prices rise again.”
The government has continued to assure the public that supply remains sufficient and stable, discouraging panic buying amid recent price adjustments. Officials said fuel reserves are adequate and that authorities are monitoring global and domestic market trends to ensure prices remain within “reasonable and manageable levels.”
A comparative survey of pump prices across four East African cities shows significant variation, with Kampala recording petrol at Shs5,400 and diesel at Shs5,250, Dar es Salaam at TShs3,820 for petrol and TShs3,806 for diesel, Kigali at Rwf2,303 for petrol and Rwf2,205 for diesel, and Nairobi at Kshs206.97 for petrol and Kshs206.84 for diesel.
Nairobi remains the most expensive in both petrol and diesel categories, while Kampala currently records the lowest overall prices in the region.
Compared to Nairobi, Kampala’s fuel prices are lower by about Kshs20.76 (roughly Shs602) per litre of petrol and Kshs25.81 (about Shs748) for diesel. Dar es Salaam is cheaper than Nairobi by about Kshs16 per litre for petrol and Kshs17 for diesel, while Kigali also remains below Nairobi, with margins of Kshs1.89 for petrol and Kshs10.49 for diesel.
Exchange rates used in the comparison include Kshs1 to Shs29, Kshs1 to TShs20, and Kshs1 to Rwf11.23.
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