Nairobi — A technical hitch saved Nairobi motorists from digging deeper into their pockets after Kenya Oil Company petrol pumps failed to adjust past Sh100 per litre of fuel.

According to industry sources, Kenol planned to increase prices to Sh100.50 per litre of unleaded premium on Monday, through a calibration of its mostly upmarket filling station fuel dispensers. But this proved futile after the machines failed to register the price.

As a result, Kenol's oil pump prices settled at Sh99.99 for the rest of the day while a litre of low sulphur diesel was selling at Sh99.49.

"The technicians were here all morning trying to adjust the pumps but failed," confirmed a pump attendant at one of the petrol stations in the city on condition of anonymity.

Its was not clear how soon the technical hurdle would be resolved as no one was available to comment at Kenol.

Remote controlled

Virtually all fuel dispensers whose prices are digital and remote controlled can only take double-digit figures of up to Sh99.99, the current price of unleaded premium at a number of Kenol stations.

On the opposite street, Total Kenya Limited was selling a litre of the same at Sh99.19 while that of low sulphur diesel was going for Sh90.19.

The price of fuel varies with regions and the cost of operations. The higher the cost of operations like labour, leases and land rates, the higher the pump price.

However, a different source said that none of the oil dealers would increase pump prices without authorisation from their respective head office.

Towards the end of January, the Sunday Nation reported that an oil company had enquired whether the fuel dispensers could register a price of Sh100 a litre in anticipation of the highest petroleum prices in the history of this country. Alarmingly for consumers, the company got a positive reply from the technical firm.

Pump prices in Nyeri Town have also continued to rise in the last one week. Most major fuel providers have increased petrol prices to near the Sh100 mark while diesel continues to approach Sh90.

Diesel prices at Kenol stations have gone up by a shilling to Sh88.50 while premium is up from Sh97.0 to Sh98.50.

Shell BP has raised diesel prices to 86.90 from Sh85.50 while at Caltex diesel has reached Sh87.50, up from Sh85.50.

Prices have, however, remained stable at Total petrol stations, with premium going for Sh96.90 and diesel at Sh86.99.

The lowest prices remained at National Oil stations where diesel is selling at Sh85.99 and premium at 92.49.

And in parts of western Kenya, supply of diesel has resumed after a two-week shortage of the commodity.

Kenya Pipeline Company western Kenya regional manager Kipletting Bitok blamed the shortage on a decline in supply from the petroleum oil companies.

"The shortage of diesel in various parts of the region is now resolved following steady supply of the commodity," he said.

A litre of diesel is going for Sh91 in most petroleum outlets in the region, up from Sh89.45 a month ago. And the prices are likely to increase further due to the unsteady supply.

The price of petrol has also increased to Sh99 as manufacturers and motorists warn of adjusting prices of their products and services to meet the changes.

Farmers say the skyrocketing cost of fuel is hurting their businesses.

"We have been forced to scale down acreage under crop production this season due to the high cost of fuel and farm inputs," Mr Isaac Kibogy of Sergoit, Uasin Gishu, said.

Mr Bitok attributed the high petroleum prices Sh7,812 (USD126) per barrel to increased world demand.

Additional reporting by Barnabas Bii and Solomon Mburu