Nairobi, Sept. 3 -- Motorists will enjoy a State subsidy on fuel when the crude oil prices in the global market cross $50 (Sh5,420.40) per barrel.
The Ministry of Energy yesterday told Parliament that Kenyans will not bear costs of diesel prices above $50 a barrel in a subsidy scheme that excludes petrol.
The subsidy will be supported by billions of shillings that will be raised from fuel consumers through the Petroleum Development Levy, which has been increased to Sh5.40 a litre in July from Sh0.40, representing a 1,250 percent rise.
The fund is meant to cushion consumers from volatility in fuel prices but it will also see motorists lose out when paying the Sh5.40 for a litre at the pump.
Local diesel prices have for the past five mont...