Tanzania has announced an immediate reduction in fuel prices, citing a decline in global market prices and a depreciation of the applicable exchange rate. The Energy and Water Utilities Regulatory Authority (EWURA) lowered the cap prices for petroleum and diesel by TSh 36 and TSh 23 per litre, respectively. This adjustment is expected to reduce transportation costs, ease inflationary pressures, and boost overall economic activity.
The price cuts are driven by a 0.2 % decline in FOB petrol prices, a 5.5 % drop in diesel, and a 3.5 % fall in kerosene, combined with a 3.96 % depreciation of the exchange rate. These factors collectively prompted a downward revision of September fuel prices, reflecting responsiveness to both global market trends and currency fluctuations.
However, premiums at the Dar es Salaam port have risen sharply, increasing on average by 20.73 % for petrol, 7.75 % for diesel, and 2.62 % for kerosene. In contrast, premiums at the Tanga port fell by an average of 12.66 % for both petrol and diesel, while no changes were reported at the Mtwara port. EWURA has reminded all retailers and wholesalers to adhere strictly to the stipulated fuel prices, warning that legal action will be taken against non‑compliance.
The new domestic fuel prices are as follows. At the Port of Dar es Salaam, petrol is now TSh 2,807 per litre, down from TSh 2,843 in August, and diesel is TSh 2,754, a slight decrease from TSh 2,777. At the Port of Tanga, retail prices have fallen to TSh 2,868 for petrol and TSh 2,816 for diesel. At the Port of Mtwara, petrol dropped to TSh 2,899 from TSh 2,935, and diesel fell to TSh 2,847 from TSh 3,020. These variations highlight regional disparities in fuel pricing, influenced by logistics costs, import tariffs, and supply‑chain dynamics.
The modest decreases in petrol and diesel prices may ease transportation and production costs in affected regions, while the slight increase in kerosene prices could impact low‑income consumers who rely heavily on this fuel. Overall, the reduced fuel prices are expected to have a positive impact on the economy, and EWURA will continue to monitor the situation to ensure that the benefits are passed on to consumers.
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