South Africa: Petrol Price Increases, Diesel On a Downturn

The Department of Petroleum and Mineral Resources (DMPR) has announced that petrol will increase by R1.43 this Wednesday, while the prices of diesel, paraffin and LP gas will decrease.

The adjusted prices for this month are as follows:

Petrol 93 (ULP & LRP): R1.43 increase.
Petrol 95 (ULP &LRP): R1.43 increase.
Diesel (0.05% sulphur): R3.24 decrease.
Diesel (0.005% sulphur): R2.61 decrease.
Illuminating Paraffin (wholesale): R5.96 decrease.
Single Maximum National Retail Price for Illuminating Paraffin: R7.95 decrease.
Maximum Retail Price of LP Gas: 17c per kg decrease and 20c per kg decrease in the Western Cape.

"The average Brent Crude oil price increased from 101 US Dollars (USD) to 104.59 USD during the period under review. This is due to the continued tension between the US and Iran, the closure of the Strait of Hormuz.

"The prices of middle distillates [diesel and paraffin] decreased more than petrol prices because of lower seasonal demand as the northern hemisphere moves into summer.

"The prices of Propane and Butane remained the same during the period under review, however, the freight costs decreased," the DMPR explained.

During the period under review, the Rand strengthened against the USD from R16.65 to R16.52 per USD, leading to "slightly lower contributions to the Basic Fuel Prices of petrol, diesel and Illuminating Paraffin by 12.07 c/l, 14.81 c/l and 14.55 c/l, respectively".

The general fuel levy has been reduced by some R1.50 per litre for petrol and R1.96 per litre for diesel, also effective from Wednesday.

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