The Energy and Petroleum Regulatory Authority (EPRA) has confirmed that oil marketing companies (OMCs) will receive advance sales compensation for petroleum volumes accessed beyond those factored into the current and subsequent pricing cycles.

In a letter dated 27 October 2026, EPRA Director General Edward Kinyua explained the measure is intended to maintain uninterrupted fuel supplies and offset OMCs’ exposure to price lags.

The letter, addressed to OMC CEOs, cites correspondence from the Principal Secretary in the State Department for Petroleum dated 1 October 2026 and states that excess volumes will be eligible for advance compensation on a first‑in, first‑out basis, verified using Kenya Revenue Authority data.

The announcement follows complaints from independent fuel dealers who allege OMCs are selling petroleum above the maximum wholesale prices set by EPRA.

The Petroleum Outlets Association of Kenya (POAK) and the Kenya Independent Petroleum Dealers Association (KIPEDA) have urged independent dealers to suspend purchases from OMCs that charge above the gazetted wholesale limits.

Both associations claim that since EPRA’s price review on 14 October 2026, OMCs have continued to sell fuel to independent dealers at rates exceeding the permitted wholesale caps, squeezing dealer margins.

The October price review raised petrol by Sh12.93 per litre, diesel by Sh9.90 and kerosene by Sh28.49, with Super Petrol now retailing at Sh226.96 per litre, Sh227.76 for diesel and Sh219.87 for kerosene.

Dealers say the alleged breaches have narrowed profit margins, making legal fuel purchases difficult and threatening outlet closures or heavy financial losses.

POAK and KIPEDA are calling on EPRA and the State Department for Petroleum to sanction non‑compliant OMCs and have requested talks with the Ministry of Energy and Petroleum to resolve the dispute.

Kinyua linked recent fuel‑price pressure to the Middle‑East conflict, noting international petrol prices rose to about $1,300 per tonne from roughly $600 earlier in the crisis, and explained part of the kerosene price adjustment aims to curb blending of cheaper kerosene with automotive fuels.