Monday, May 15, 2023 –President William Ruto has made a big U-turn on the availability of cheap gas in the country.
Despite having promised Kenyans affordable cooking gas by June this year, the president, while addressing media from the Statehouse on Sunday May 14 night, noted that it was a far fetched promise that won’t materilise in June.
He argued that the 2022/23 budget must first be passed in Parliament before his long-awaited cheaper gas could be availed into the local market.
”If we had succeeded to have that in the supplementary budgetary budget, then that would have happened from June 1.
”We realised that if we had to do that then it would have required that we amend some law but as you can see we have that in the current budget.
”We have to remove all the illegal fillers because they are undermining our efforts…what we were reducing between Sh300-500 is the gas cylinder then you will be able to refill gas,” Ruto stated.
The finance Bill 2023, Dr. Ruto indicated, seeks to exempt cooking gas from the eight percent Value Added Tax VAT.
Additionally, it will be exempting the commodity from the 3.5 percent Import Declaration Fees IDF and the Railway Development Levy RDL of two percent.
“To reduce the cost of liquefied petroleum gas (LPG) and make it affordable, reduce the use of biomass fuel and destroy our forests, the Bill proposes to exempt LPG from VAT.
“It further proposes to exempt LPG from Railway Development Levy (RDL) and Import Declaration Fees (IDF),” a recent Statehouse brief read.
Therefore, President Ruto urged the country to remain patient and hopeful as his administration works all-round the clock to avail affordable gas cylinders later on in the year.
He defended himself from any blame saying he had already removed taxes on gas but his plan could not succeed through the current supplementary budget and that is the reason the prices were yet to change.