Treasury Cabinet Secretary John Mbadi on Monday, May 18, addressed the ongoing anti-fuel-prices demonstrations and the nationwide matatu strike.
Mbadi first denied claims that he stated that he assured Kenyans that the fuel prices would not increase before the May-June review by the Energy and Petroleum Regulatory Authority (EPRA).
He claimed that he was misquoted and asked the journalist to produce video evidence of him making the declaration.
"I don't know when I was quoted as having said that. I think maybe that was someone else, unless you can play that clip," the CS responded.
The Treasury Boss reiterated that the high fuel prices were a global phenomenon and were a result of the closure of the Strait of Hormuz amid the ongoing war between the United States of America and Iran.
Read More
He explained that while only 20 percent of fuel passes through the Strait of Hormuz, African countries were majorly affected because the majority of their fuel is sourced from the region.
Mbadi emphasised that the government was doing its best to cushion Kenyans, and that if it had not intervened, then the fuel prices would be much higher.
"All marketers now have to source fuel elsewhere. Fortunately for us, we had an arrangement in place to ensure a continuous supply, but it will be at a cost. You have seen that they are even going to India to source fuel.
"Before the war broke out, diesel was sold at USD642 per metric tonne; today it is USD1,120. If we did not intervene as a government, the prices would be 76 to 80 percent more," he stated.
Meanwhile, Mbadi expressed concern over the crises in the transport sector following the nationwide strike. However, he ruled out the scrapping of some taxes imposed on fuel to lower the pump prices.
"The levies and taxes are supposed to help with the development agenda of our economy. If we, for example, remove the Road Maintenance Levy, are the matatu operators going to be willing to drive in potholes because one must give way to another?" he stated.
The CS stated that the government would not compromise on long-term development of the country for short-term expediency, especially if it is unsure of how long the fuel crises will last.
He added that Kenyans should appreciate that the government has ensured the constant supply of fuel in the country, adding that the product is rationed in other nations.
Meanwhile, the President of the Matatu Owners Association, Albert Karakacha, termed Mbadi as a threat to the sector over his stand not to do away with the taxes.
On Monday, Matatu Owners went on strike, paralysing public transport across the country. Tourist Service Vehicle owners and cab operators also joined the go-slow.
Private car owner were asked to stay home in solidarity with their fellow motorists while several roads were barricaded across the country.
