Why You Could Be Walking to Work Next Week
Kenyans may face a looming transportation crisis as industry stakeholders have issued a seven-day strike notice to the government, fueled by rising tensions over the disputed Road Maintenance Levy.
This situation could impact nearly all Nairobi residents, as 80% rely on public service vehicles for their daily commutes.
On Friday, July 19, the Motorists Association of Kenya (MAK) voiced its displeasure with the government’s decision to raise the road maintenance and fuel levy from Ksh18 to Ksh25 per liter.
The association criticized the increase as unlawful and demanded its immediate reversal, calling for structural reforms to enhance transparency and accountability in the sector.
This week, the Energy and Petroleum Regulatory Authority (EPRA) revealed the Ksh7 increase in the levy, prompting significant backlash.
MAK argues that this adjustment directly burdens taxpayers, generating an extra Ksh140 million daily for the government, which they term an “illegal levy.”
Peter Murima, MAK’s chairperson, strongly opposed the hike, declaring, “We, the undersigned, reject the illegal increase of the road maintenance levy.”
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Murima pointed out that the daily collection of Ksh140 million, combined with the daily consumption of 20 million liters of diesel and petrol, highlights the financial strain on motorists.
Murima’s declaration was clear: “We give the government seven days to reverse the increase or face industrial action.” A nationwide strike could significantly disrupt transport services throughout Kenya.
The controversial levy was officially gazetted on July 10, 2024, by former Transport Cabinet Secretary Kipchumba Murkomen.
This decision followed Murkomen’s promise to address public concerns raised during the consultation phase.
Murkomen defended the levy increase as essential to generating an additional Ksh32 billion in revenue, necessary to address the Ksh315 billion maintenance shortfall anticipated between 2023 and 2027.
The new tax structure encompasses several components: Excise Duty tax (Ksh21), Road Maintenance Levy (Ksh25), Import Declaration Levy (Ksh26.05), Petroleum Development Levy (Ksh5.40), Petroleum Regulatory Levy (Ksh0.75), Railway Development Levy (Ksh1.33), and Value Added Tax (Ksh26.05). The total annual revenue from these levies amounts to Ksh83 billion.
Why You Could Be Walking to Work Next Week
