More pain at the pump as weaker shilling sends fuel prices soaring

For instance, the Tanzanian Shilling, which closed 2024 at a mean exchange rate of Sh2,394.76 per dollar, depreciated further to trade at Sh2,486.64 per dollar by the end of January 2025.

By February, the Shilling stood at an average exchange rate of Sh2,581.29 against the dollar, before weakening further to Sh2,657.01 as of yesterday.

According to the Energy and Water Utilities Regulatory Authority (Ewura), this depreciation has offset the benefits of declining Free On Board (FoB) prices and reduced premiums, resulting in an overall increase in local fuel prices.

In its latest calculations, Ewura based its reference prices on the Arab Gulf market, reporting a decrease in FoB prices for April 2025. Petrol saw a 6.92 percent drop, diesel decreased by 6.57 percent, and kerosene declined by 7.82 percent.

“In April 2025, premiums decreased by an average of 6.08 percent for petrol and 7.09 percent for diesel, but kerosene saw a slight increase of 1.11 percent at Dar es Salaam Port. There were no changes at Tanga Port, while premiums at Mtwara Port decreased by 4.00 percent for both petrol and diesel,” Ewura said.

Despite these reductions, fuel prices have continued to rise. According to a statement signed by Ewura’s Director General, Dr James Mwainyekule, petrol prices in Dar es Salaam have increased to Sh3,037 per litre in April, up from Sh2,996 in March. Diesel prices have climbed to Sh2,936 per litre from Sh2,885, while kerosene now costs Sh3,053 per litre, up from Sh3,036.

In Tanga, where import costs remained unchanged, consumers will still face higher fuel prices. Petrol now retails at Sh3,083 per litre, up from Sh3,042, while diesel prices have risen to Sh2,982 from Sh2,932. Kerosene has seen the steepest increase, now costing Sh3,099 per litre, up from Sh2,958.

For fuel imported through Mtwara Port, prices have also surged. Petrol now costs Sh3,109 per litre, up from Sh3,069 last month. Diesel has increased to Sh3,008 from Sh2,958, while kerosene now retails at Sh3,125 per litre, compared to Sh3,108 in March.

Third consecutive rise

This is the third month for fuel prices in Tanzania to rise, primarily due to a fall in value of the Tanzania Shilling against the Dollar.

Last month (March, 2025), the prices for petrol, diesel and kerosene in Dar es Salaam rose by 6.27 percent, 6.73 percent and 12.02 percent, respectively.

Similarly, motorists in Tanga paid Sh3,042 for a litre of petrol while diesel and kerosene fetched Sh2,932 and Sh3,082, respectively in March. That was an increase from Sh2,825, Sh2,746 and Sh2,756 for the three products respectively.

In March in Mtwara, petrol, diesel and kerosene fetched Sh3,069, Sh2,958 and Sh3,108, up from Sh2,892, Sh2,775 and Sh2,782, respectively.

In February, 2025, Ewura prices also rose.

Display prices

Ewura has instructed petroleum companies to ensure that pump prices remain within the regulated range, adhering to the 2022 Fuel Pricing Regulations. The authority has also mandated that all filling stations prominently display their fuel prices, including any discounts or incentives.

“Consumers are advised to purchase fuel from stations that offer competitive prices and better services,” reads the statement signed by Dr Mwainyekule.

Failure to comply with pricing regulations will result in penalties. Fuel retailers are also required to issue Electronic Fiscal Pump Printer (EFPP) receipts to customers, detailing the station's name, date of purchase, type of fuel, and price per litre.

“These receipts serve as proof of purchase in the event of complaints regarding overpricing or substandard fuel quality. They also ensure that government taxes on petroleum sales are fully accounted for,” Ewura said.