Dodoma. The Energy and Water Utilities Regulatory Authority (Ewura) has announced an upward revision of cap prices for petroleum products across Tanzania, effective Wednesday, March 4, 2026, reflecting persistent pressures from the global oil market and rising importation costs.
The regulator’s monthly review underscores a continued trend of increases in pump prices, which is expected to exert inflationary pressures on transport and consumer goods prices across the economy.
Under the new pricing schedule, motorists and industrial consumers will pay more at the pump compared with the rates set for February 2026.
In Dar es Salaam, which traditionally hosts the lowest fuel prices in the country due to its proximity to the principal port of entry, the cap price for petrol has been set at Sh2,864 per litre, while diesel and kerosene now stand at Sh2,858 and Sh2,932 per litre respectively.
These figures represent increases from February’s caps of Sh2,788, Sh2,701 and Sh2,746 per litre for petrol, diesel and kerosene correspondingly.
The authority’s data indicates a notable disparity in retail prices between urban centres and remote inland regions.
Kyerwa District in the Kagera Region now records the highest petrol price under the new schedule at Sh3,136 per litre, with diesel at Sh3,131 and kerosene at Sh3,205 per litre.
The elevated prices in inland regions are largely attributable to the additional costs of transporting fuel from major storage terminals to distant localities.
According to Ewura, the revisions in fuel prices are driven principally by fluctuations in refined petroleum product prices on the international market, particularly in the Arab Gulf, which serves as the primary reference for Free on Board (FOB) pricing used in cap price calculations.
For March 2026, increases in FOB prices were recorded across major fuel categories, with diesel experiencing the most significant uptick. Importation premiums, the additional costs associated with handling, shipping and logistical expenses at Tanzania’s key ports, further contributed to the upward adjustment.
Ewura reiterated that cap prices are mandatory maximums; petrol station operators are legally obliged to display these rates prominently on clearly visible boards.
Retailers found to be selling above the mandated limits will face enforcement actions, including potential legal sanctions.
The regulator also requires that all sales be supported by receipts from Electronic Fiscal Pump Printers (EFPP) to enhance transparency and compliance.
The latest fuel cost adjustments come amid broader economic concerns about inflationary pressures in Tanzania.
While headline inflation has fluctuated in recent periods, energy costs have historically been a significant determinant of transportation and production costs, with pass-through effects on prices of goods and services nationwide.
