Market & Finance

Fuel prices drop as stronger shilling cushions global oil shocks

Consumers can verify current fuel prices using Ewura’s free mobile service by dialling 15200#

Dar es Salaam. Tanzanians will pay lower prices for fuel starting July 1, 2025, following a fresh adjustment by the Energy and Water Utilities Regulatory Authority (Ewura).

The regulator has announced new cap prices reflecting a modest decline across all major petroleum products.

The reduction comes amid a stronger Tanzanian shilling, which helped cushion the impact of surging global oil prices.

In Dar es Salaam, the retail price for petrol has been revised down to Sh2,877 per litre from Sh2,885 in June.

Diesel has dropped to Sh2,767 from Sh2,826, while kerosene has seen the most pronounced decline, falling to Sh2,629 from Sh2,877.

Similar downward adjustments have been recorded in other regions.

In Tanga, the new prices are Sh2,938 for petrol, Sh2,828 for diesel, and Sh2,690 for kerosene.

Mtwara, however, continues to record the highest retail prices among the three major ports, with petrol retailing at Sh2,969, diesel at Sh2,859, and kerosene at Sh2,722 per litre.

Ewura said the price decrease was largely influenced by a 4.98 percent appreciation in the exchange rate during June 2025, which offset significant increases in international Free On Board (FOB) prices.

According to the regulator, FOB prices rose by 6.8 percent for petrol, 9.3 percent for diesel, and 8.1 percent for kerosene, based on trends in the Arab Gulf market.

At port level, importation costs also saw marked changes.

At the Dar es Salaam port, premiums for petrol rose by 27.98 percent and for diesel by 8.04 percent, while kerosene premiums decreased by 5.64 percent.

No significant changes in importation costs were recorded at the ports of Tanga and Mtwara.

The price adjustments also coincide with the enforcement of the Finance Act, 2025, which came into effect on July 1.

Ewura noted that fuel pricing in Tanzania remains liberalised in accordance with the Petroleum Act, Cap. 392, and is primarily determined by prevailing market forces.

The regulator continues to publish monthly indicative and maximum prices to promote transparency and fair competition.

Wholesale prices for July have been set at Sh2,735.79 for petrol, Sh2,625.66 for diesel, and Sh2,489.14 for kerosene in Dar es Salaam.

In Tanga, petrol and diesel will be sold wholesale at Sh2,743.07 and Sh2,640.23 respectively, while in Mtwara the prices are Sh2,743.94 for petrol and Sh2,641.85 for diesel.

Wholesale kerosene prices for the latter two ports were not published.

Ewura has reminded all retailers to clearly display fuel prices on visible signage at petrol stations, and to issue receipts generated by Electronic Fiscal Pump Printers (EFPPs) for every transaction.

“The public is encouraged to retain these receipts as proof of purchase and as a safeguard in the event of disputes related to pricing or product quality,” Ewura says.

Consumers can verify current fuel prices using Ewura’s free mobile service by dialling 15200#.

Meanwhile, Oil Marketing Companies are permitted to offer competitive pricing below the cap, as long as the floor price is respected in accordance with the amended pricing regulations of 2024.

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