Fuel prices drop for third consecutive month as Tanzanians get relief at the pump
Fuel prices in Tanzania have risen for the third consecutive month. PHOTO | FILE
Dar es Salaam. Tanzanian motorists will enjoy further relief at fuel stations this August, as prices of petrol, diesel, and kerosene have fallen for the third month in a row.
The Energy and Water Utilities Regulatory Authority (EWURA) announced the new cap prices in a public notice, with the changes taking effect from Wednesday, August 6, 2025.
The price reductions reflect a combination of factors including falling international prices for refined petroleum products, improved exchange rates, and lower shipping premiums—offering much-needed respite to motorists and transport-dependent businesses across the country.
In Dar es Salaam, the new retail price for petrol has dropped to Sh2,843 per litre, Diesel now sells for Sh2,777 per litre, while kerosene is priced at Sh2,768.
Other major port cities are also recording lower prices. In Tanga, petrol is now retailing at Sh2,904, diesel at Sh2,839, and kerosene at Sh2,829 per litre. In Mtwara, where transport and handling costs tend to be higher, petrol is going for Sh2,935, diesel for Sh2,870, and kerosene for Sh2,861.
Wholesale prices have also been adjusted downward, opening the door for potentially more competitive pricing across regions. For instance, petrol in Dar es Salaam is now wholesaling at Sh2,703.02 per litre, with diesel and kerosene wholesaling at Sh2,637.68 and Sh2,628.90, respectively.
According to EWURA, the primary reason for the fuel price drop is a 2.3 percent decrease in Free-On-Board (FOB) prices for petrol in the Arab Gulf market, which supplies Tanzania with most of its refined petroleum products. Although diesel and kerosene prices on the global market rose slightly—by 5.5percent and 3.7 percent respectively—the impact was cushioned by other favourable indicators.
Notably, the Tanzanian shilling appreciated by 2 percent against the US dollar and other major foreign currencies used in global oil transactions. In addition, port premiums—a key factor in determining final pump prices—fell significantly at Dar es Salaam Port, decreasing by an average of 12.43 percent for petrol and three-point-one-one percent for diesel.
However, not all ports benefitted equally. At Mtwara Port, premiums increased sharply—rising by over 60 percent for diesel and just over 6 percent for petrol—partly explaining why fuel prices in the southern zone remain slightly higher than elsewhere.
EWURA reminded all fuel retailers that they are required to comply with the new price ceilings and to clearly display prices on visible boards outside their stations. It is also mandatory for petrol stations to issue receipts generated from Electronic Fiscal Pump Printers (EFPP), detailing the transaction date, fuel type, and unit price.
Consumers are urged to retain their receipts, which serve as important proof in case they need to lodge a complaint about overcharging or substandard fuel. The regulator warned that failure by retailers to comply with pricing, display, or receipt requirements would attract legal penalties.
Still, EWURA cautioned that global oil markets remain volatile, and fuel prices could shift depending on international supply and demand, geopolitical dynamics, and currency fluctuations. The Authority pledged to maintain a transparent and competitive fuel pricing framework that protects consumers while ensuring sustainable supply.
