RC lifts the lid on fuel prices hike, saying storage depots don’t meet domestic demand

DAR ES SALAAM: THE Dar es Salaam Regional Commissioner, Albert Chalamila, has outlined the factors driving the increase in fuel prices, providing context on fuel availability and consumption patterns within the region.

Speaking on April 6, 2026, at the Mawasiliano area, commonly known as Simu 2000 in Ubungo, during a meeting attended by the Prime Minister of Tanzania, Chalamila stated that the Dar es Salaam Region has a total of 470 fuel stations and 22 storage depots with a combined capacity of 1,346,000 liters.

He noted that fuel demand in the region remains significantly high, with daily consumption estimated at approximately 1.7 million liters of petrol, 2.6 million liters of diesel, and about 5,000 liters of kerosene.

According to Chalamila, national fuel stock assessments consider multiple supply chain layers, including fuel in storage depots, at ports, already paid for and in transit, as well as volumes undergoing processing.

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However, he highlighted that the current storage infrastructure is insufficient to meet domestic demand while simultaneously supporting fuel distribution to neighboring countries such as the Democratic Republic of the Congo.

He further explained that fuel prices are determined on a monthly basis, guided by three primary factors: global market price trends, the cost offered by the most competitive fuel supplier, and fluctuations in the value of the US dollar.

Chalamila emphasized that these variables collectively determine fuel prices for each respective period.