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Rank: Veteran Joined: 4/16/2014 Posts: 1,420 Location: Bohemian Grove
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Ericsson wrote:Petrol stations have now become shopping malls. They can’t really make a profit on petrol alone. This cost is one of the biggest costs to supply chains and logistics in Kenya. Remember all importers also pay for the railway levy.
The government now makes more per liter of petrol than the person who drilled for it, refined it, transported it and sold it *COMBINED*. For every liter of petrol, the government takes 51% of the price as taxes, but feels that dealers who would want 10% are greedy.
The government policy around petrol has made that worse. In 2010, cost of petrol had 30% of the cost as taxes. The government decided that a 10% profit margin was too high. They started regulating the price of fuel.
When global crude prices fell, they quietly and mischievously introduced more taxes, took the margin that would have previously been passed on to citizens and demonized the petrol station. The Kenya economy is dead and buried under this tax regime.Fuel is a big factor of production and goods produced in other countries will always be cheaper.
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Rank: Member Joined: 2/20/2015 Posts: 468 Location: Nairobi
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Ericsson wrote:Petrol stations have now become shopping malls. They can’t really make a profit on petrol alone. This cost is one of the biggest costs to supply chains and logistics in Kenya. Remember all importers also pay for the railway levy.
The government now makes more per liter of petrol than the person who drilled for it, refined it, transported it and sold it *COMBINED*. For every liter of petrol, the government takes 51% of the price as taxes, but feels that dealers who would want 10% are greedy.
The government policy around petrol has made that worse. In 2010, cost of petrol had 30% of the cost as taxes. The government decided that a 10% profit margin was too high. They started regulating the price of fuel.
When global crude prices fell, they quietly and mischievously introduced more taxes, took the margin that would have previously been passed on to citizens and demonized the petrol station. Our Somali Brothers are running petrol stations profitably(or so I think)
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Rank: Veteran Joined: 7/1/2014 Posts: 927 Location: sky
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https://www.businessdailyafrica.com/news/Sh300bn-Turkana-oil-deal-to-remain-secret/539546-5171844-xdshhvz/index.htmlKenya has signed a deal with Turkana oil exploration firms that will see them source up to Sh300 billion ($3 billion) funding from international financiers, but Petroleum Secretary John Munyes says the agreement will be kept secret from taxpayers. Petroleum Ministry bureaucrats cited official secrecy and commercial confidentiality while declining to disclose details of the agreement reached with three oil majors for development of the South Lokichar oil basin.These secret deals will come to haunt us one day. A day will come when we will be told we cannot benefit from our oil production for 30 years because the government signed certain agreements and that how prices of petrol will remain high in kenya for decades despite the much celebrated oil production There are only two emotions in the stock market, fear and hope. The problem is, you hope when you should fear and fear when you should hope
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Rank: Member Joined: 12/1/2007 Posts: 539 Location: Nakuru
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kawi254 wrote:Ericsson wrote:Petrol stations have now become shopping malls. They can’t really make a profit on petrol alone. This cost is one of the biggest costs to supply chains and logistics in Kenya. Remember all importers also pay for the railway levy.
The government now makes more per liter of petrol than the person who drilled for it, refined it, transported it and sold it *COMBINED*. For every liter of petrol, the government takes 51% of the price as taxes, but feels that dealers who would want 10% are greedy.
The government policy around petrol has made that worse. In 2010, cost of petrol had 30% of the cost as taxes. The government decided that a 10% profit margin was too high. They started regulating the price of fuel.
When global crude prices fell, they quietly and mischievously introduced more taxes, took the margin that would have previously been passed on to citizens and demonized the petrol station. Our Somali Brothers are running petrol stations profitably(or so I think) Laundry For investors as a whole, returns decrease as motion increases ~ WB
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Rank: Elder Joined: 12/4/2009 Posts: 10,804 Location: NAIROBI
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Our goal of achieving 500,000 affordable houses by 2020 will require about USD 13 Billion in financing, we are calling upon investors to support this noble course ~ @PSCharlesHinga Wealth is built through a relatively simple equation
Wealth=Income + Investments - Lifestyle
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Rank: Elder Joined: 12/7/2012 Posts: 11,935
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Ericsson wrote:Our goal of achieving 500,000 affordable houses by 2020 will require about USD 13 Billion in financing, we are calling upon investors to support this noble course ~ @PSCharlesHinga 2020,  Hii Jubilee bure kabisa. In the business world, everyone is paid in two coins - cash and experience. Take the experience first; the cash will come later - H Geneen
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Rank: Member Joined: 7/6/2018 Posts: 175 Location: Kinshasa
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Support? As in "handouts"? Somebody tell him that investors are in the business of investing (for a profit). Why GoK not simply create conditions conducive for the investors then the CS needn't sound this desperate? Enyewe ignorance is bliss.... All that most govt officials seem to do these days is pay lip service to the so-called Big 4 agenda. The idea's being bandied by any sycophant for self-expediency. If it don't make dollars, it don't make sense
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Rank: Elder Joined: 12/4/2009 Posts: 10,804 Location: NAIROBI
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https://www.standardmedi...h67b-goes-down-the-drainWealth is built through a relatively simple equation
Wealth=Income + Investments - Lifestyle
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Rank: Elder Joined: 6/23/2009 Posts: 14,211 Location: nairobi
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Ericsson wrote:https://www.standardmedia.co.ke/article/2001331585/pensioners-suffer-as-their-sh67b-goes-down-the-drain Almost cried while reading this
KQ ABP 4.26
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Rank: Veteran Joined: 1/20/2011 Posts: 1,820 Location: Nakuru
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obiero wrote:Ericsson wrote:https://www.standardmedia.co.ke/article/2001331585/pensioners-suffer-as-their-sh67b-goes-down-the-drain Almost cried while reading this Hujuma... Dumb money becomes dumb only when it listens to smart money
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