Kenyans will continue benefiting from reduced Value Added Tax (VAT) on petroleum products following the passage of the Tax Laws (Amendment) Bill (National Assembly Bill No. 65 of 2026) by the National Assembly.

The Bill, sponsored by the Leader of the Majority Party, Hon. Kimani Ichung’wah, seeks to amend the Value Added Tax Act to maintain the VAT rate on petroleum products at eight per cent, down from the standard rate of 16 per cent. The measure is intended to cushion consumers against rising global fuel prices amid tensions in the Middle East.

The Senate Committee on Delegated Legislation has held a consultative engagement with the Ministry of Environment, Climate Change and Forestry to review proposed Regulations under the Climate Change Act, Cap. 387A, the Environmental Management and Coordination Act, Cap. 387 and the Forest Conservation and Management Act, Cap. 385.