Tanzania raises fuel prices on higher import costs

Tanzania's energy regulator has raised the prices of petrol, diesel and kerosene citing higher international oil prices.



Economists say the move could feed inflation.

After food costs, fuel prices are the biggest driver of inflation, which inched higher to 6.3 percent in the year to October from 6.10 percent the previous month.

The retail price of petrol in east Africa's second-biggest economy was raised 0.56 percent and the price of diesel by 1.72 percent.

Kerosene prices were raised 1.6 percent in the latest monthly price changes, which took effect from Dec. 4.

In a statement, the Energy and Water Utilities Regulatory Authority (EWURA) said the “changes have been caused by a change of prices of petroleum products in the world market and recent publication of the slightly amended petroleum pricing formula,"

EWURA increased the price of petrol in the commercial capital Dar es Salaam by 12 shillings per litre to 2,114 shillings.

Diesel prices in the capital city rose by 35 to 2,101 shillings.

Kerosene prices in the capital rose by 31 to 2,049 shillings per litre.