The Tanzanian government has stepped up efforts to cushion consumers from soaring global fuel prices triggered by escalating tensions in the Middle East involving Iran, Israel and the United States, as authorities seek to maintain stable fuel supplies and protect key sectors of the economy.
New fuel prices released by the Energy and Water Utilities Regulatory Authority (EWURA) for May 2026 show petrol in Dar es Salaam retailing at TZS4,115 per litre, diesel at TZS4,248 and kerosene at TZS4,677 per litre.
Despite the increase, the government has maintained a diesel subsidy of TZS259 per litre, a move stakeholders say is helping ease pressure on transport costs, public services and industrial production.
MOIL Energies Depot Investor Manager, Dr Sajad Habib Rai, praised the intervention, saying it has prevented a sharper rise in the cost of living at a time when many countries are struggling with global fuel market disruptions.
“We commend the government for continuing with the diesel subsidy because it is helping reduce the burden on wananchi, especially in transportation and public transport services that largely depend on diesel,” Dr Rai said.
He noted that the ongoing instability in global oil markets has become a challenge for economies worldwide, with fuel-importing countries facing growing pressure from supply uncertainties linked to the Middle East conflict.
“Not every country has managed to take such measures. The current situation in the global fuel market is affecting the entire world, but Tanzania has shown commitment to protecting consumers and maintaining stability,” he said.
Dr Rai said Tanzania has continued to position itself among East Africa’s relatively affordable fuel markets despite the global surge in prices.
He explained that Tanzania is the first country in the region to announce fuel prices for May due to EWURA’s pricing framework, which publishes new prices on the first Wednesday of every month.
According to him, Tanzania’s fuel pricing trend often serves as an early indicator for neighbouring markets, many of which are expected to announce even higher prices in the coming weeks as pressure mounts in the international oil market.
Regional comparisons show that petrol prices in Kenya had already exceeded the equivalent of TZS4,300 per litre last month, while Uganda was approaching TZS4,500 per litre in some areas.
Rwanda recorded the highest fuel costs in the region, with petrol prices surpassing TZS5,200 per litre, making it one of East Africa’s most expensive fuel markets.
Dr Rai urged Tanzanians to support government efforts as authorities continue exploring additional ways to minimise the impact of rising global fuel prices on households and businesses.
“As traders, we will continue cooperating with the government to ensure fuel services remain available, efficient and accessible to all consumers without discrimination,” he said.
