The Kenyan National Assembly has ordered a formal investigation into the country’s fuel price stabilisation framework and the management of the Petroleum Development Levy (PDL) fund, amid growing concerns over rising pump prices and the sustainability of government interventions in the energy sector.
The directive was issued by the National Assembly’s Budget and Appropriations Committee, chaired by Samuel Atandi, which instructed the National Treasury to undertake a comprehensive review of the fuel subsidy system and submit its findings by September 30.
Concerns Over Sustainability and Rising Fuel Costs
Lawmakers say the inquiry has been triggered by continued volatility in global oil markets, which has placed significant pressure on domestic fuel prices. MPs have raised questions about whether the current stabilisation mechanism is financially sustainable in the long term, especially during periods of prolonged international price spikes.
The Petroleum Development Levy fund, which is used to cushion consumers from sudden increases in fuel prices, is now under scrutiny as legislators seek to determine whether it can continue absorbing shocks without risking fiscal strain on the government.
Source Attributed: The Standard