The Ministry of Infrastructure (MININFRA) has explained the reasons behind the recent rise in petroleum product prices and assured that the increase will not significantly affect transportation. The ministry also highlighted measures in place to mitigate the impact on Rwandans.
State Secretary in the Ministry of Infrastructure, Jean de Dieu Uwihanganye, said the increase in petroleum product prices is caused by multiple factors. Fuel prices have risen by Frw 127 for gasoline and Frw 92 for diesel.
He said, “Price changes are generally caused by many factors, but this time it is due to the increase in transportation costs from the ports we mostly use along the Central Corridor to Rwanda, combined with recent disruptions along that route. These disruptions caused delays in deliveries, which in turn raised the prices.”
Uwihanganye added that the rise was limited because the government absorbed part of the cost.
He explained, “Based on our usual calculations, market prices would have risen significantly, but the Rwandan government decided to subsidize a large portion of the increase to protect Rwandans, especially for diesel, which is heavily used in public transport, by people transporting goods, and other sectors.”
He also noted that international petroleum prices and currency fluctuations contributed to the increase.
He said, “The price of petroleum on the international market has risen, and the value of our currency compared to foreign currencies also plays a role. If we look at transportation costs from the port to Rwanda, combined with the price of petroleum at the port, the currency exchange rates influence the final cost.”
Regarding potential increases in transportation fares, Uwihanganye stated that prices in Kigali would rise only slightly, while in other provinces, adjustments will be discussed gradually, as those fares have not changed for some time.
He said, “In urban transport, especially in Kigali, fares were recently revised. Even if prices increase, it will not exceed 1%. For inter-city routes from Kigali to other provinces, there has been no change for a while, so adjustments will be gradual to help service providers operate effectively.”
Uwihanganye emphasized that these measures aim to protect citizens, noting that diesel is mostly used in public transport, which is why its price was kept from rising sharply.
He outlined additional measures to counter the price increase, including expanding petroleum reserves, promoting electric vehicles, launching a project to utilize Kivu gas for cooking and possibly for large vehicles, and increasing domestic production to reduce reliance on imports.
