Dar es Salaam – Tanzanian households and businesses face renewed pressure on their budgets as fuel prices have risen across the board in March, with diesel and kerosene seeing the most significant increases.
This reverses the trend from February, which saw a slight drop in the cost of most petroleum products.
Effective from Wednesday, March 4, 2026, the Energy and Water Utilities Regulatory Authority (EWURA) has adjusted the cap prices for fuel, reflecting a surge in global oil prices and a weaker exchange rate.
In Dar es Salaam, the price of diesel has jumped by Sh157 to Sh2,858 per litre, a 5.8 per cent increase from February. Kerosene, a vital fuel for cooking and lighting in many households, has risen by Sh186 to Sh2,932 per litre, a 6.8 per cent hike. Petrol saw a more modest increase of Sh76, or 2.7 per cent, to Sh2,864 per litre.
The sharp rise in the cost of diesel is expected to have a significant ripple effect throughout the economy. As diesel is the primary fuel for commercial transport, including buses and lorries, the increase will likely lead to higher public transport fares and increased costs for moving goods.
READ MORE: Fuel Prices See Mixed Adjustment for February
This, in turn, is expected to push up the prices of food and other essential commodities, placing a greater burden on consumers, particularly those on fixed incomes.
According to EWURA, the price adjustments are a direct result of external market forces. Free on Board (FOB) prices in the Arab Gulf market, from where Tanzania sources its fuel, increased by 9.8 per cent for diesel and 7.4 per cent for kerosene in the procurement period for March supplies.
Furthermore, the Tanzanian Shilling depreciated against the US Dollar by 8.54 per cent, making imports more expensive.
While the price hike adds to the cost of living, EWURA has assured the public that the country has sufficient fuel stocks to meet demand, despite ongoing geopolitical tensions in the Middle East, a key source region for Tanzania’s petroleum products.
Analysts note that while fuel consignments for March and April were procured under earlier pricing, continued instability could lead to further price adjustments in the coming months.
READ MORE: Mixed Fortunes at the Pump as Tanzania’s Fuel Prices Adjust for January
As always, fuel prices vary by region due to transport costs, with consumers in more remote areas paying the highest prices.
EWURA continues to advise consumers to verify the official cap prices, which can be done free of charge via the USSD code 15200#, and to insist on itemised receipts for all fuel purchases.
