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More relief at the pump as fuel prices drop further in June
Fuel prices in Tanzania have risen for the third consecutive month. PHOTO | FILE
What you need to know:
- Customers are encouraged to retain their receipts as proof of purchase, especially in case of disputes over pricing or fuel quality.
Dar es Salaam.Motorists across Tanzania are set to breathe a sigh of relief after the Energy and Water Utilities Regulatory Authority (Ewura) announced a modest drop in fuel prices, effectiveWednesday, June 4, 2025.
The decrease is largely attributed to a reduction in global fuel prices and favourable exchange rate movements.
According to Ewura’s latest bulletin, the price of petrol in Dar es Salaam has dropped to Sh2,885 per litre, while diesel now stands at Sh2,826. The price of kerosene has also declined to Sh2,877 per litre. These rates reflect a decrease compared to last month’s prices, offering a welcome break for drivers and businesses grappling with high transport costs.
In Tanga, pump prices are slightly higher, with petrol retailing at Sh2,946 and diesel at Sh2,887, while Mtwara motorists will pay Sh2,978 for petrol and Sh2,918 for diesel. Kerosene prices have also dropped across the board.
The price adjustment comes as global Free On Board (FOB) prices for refined petroleum productsfell by 0.9 percent for petrol, 3.4 percent for diesel, and 3.7 percent for kerosene, compared to last month. A 0.63 percent drop in the exchange rate also helped reduce the cost of imports.
For Tanzanian drivers, the move translates to more affordable travel and a potential drop in overall transport costs. Public service vehicle operators, logistics companies, and private motorists are all expected to benefit from the reduced burden at the pump.
"This is good news for motorists and consumers in general. A reduction in fuel prices eases pressure on transport costs, which could also reflect in reduced commodity prices across supply chains," said a Dar es Salaam taxi driver, reacting to the announcement.
Despite the drop in international fuel prices, Ewura noted that premiums additional charges associated with procurement and handling increased significantly for petrol and diesel at Dar es Salaam Port, and more sharply at Mtwara, where petrol premiums jumped by over 51percent. However, these increases were offset by the drop in FOB prices and the improved exchange rate.
The new fuel cap prices also account for updated fuel transportation costs, following the publication of revised rates under Government Notice No. 5083 on April 25, 2025.
Ewura has urged fuel retailers and wholesalers to adhere strictly to the cap prices. Any failure to comply will result in legal action.
Additionally, petrol stations are required to display their prices clearly on signage visible to the public and issue receipts through Electronic Fiscal Pump Printers (EFPPs).
Customers are encouraged to retain their receipts as proof of purchase, especially in case of disputes over pricing or fuel quality.
Oil marketing companies remain free to sell below the cap prices, provided they do not fall below the minimum price floor, in accordance withPetroleum Products Price Setting Rules.
While the current reductions may appear modest, they signal a positive trend for consumers as the global energy market begins to stabilise. As fuel remains a key driver of inflation, analysts say sustained price drops could ease pressure on the cost of living and business operations.
