Bad news to report today – the fuel price is set for a substantial hike this week, with petrol set to increase by 29 cents a litre and diesel by 42 cents a litre from Wednesday, the 7th.
The latest fuel hike was anticipated, despite projections prior to late June having promised favourable prices on the horizon prior to the release of an adjusted forecast.
The latest diesel and petrol prices as reported by the central Energy Fund (CEF) are as follows:
Petrol 93 (ULP & LRP) – (29.00) cents per litre increase in retail price
Petrol 95 (ULP & LRP) – (26.00) cents per litre increase in retail price
Diesel 0.05% Sulphur – (42.00) cents per litre increase in retail price
Diesel 0.005% Sulphur – (41.00) cents per litre increase in retail price
Illuminating Paraffin (Wholesale) – (36.00) cents per litre increase in retail price
Illuminating Paraffin (SMNRP) – (48.00) cents per litre increase in retail price
Maximum Retail Price for LPGAS – (63.00) cents per litre increase in retail price
The increase to petrol and diesel prices will worry South African citizens. Earlier this year, fuel value hit a record high in Mzansi, with petrol trading for over R17.40p/l in Autumn. This escalation steadied in the subsequent months, but the price has once again surged.
The increase is largely due to Brent Crude oil prices increasing from 66.00USD to 73.00USD per barrel during the last month. The CEF said that other factors that have influenced the latest petrol and diesel hike include the Rand appreciating against the US Dollar during the period under review, on average, when compared to the previous period.
The average Rand/US Dollar exchange rate for the period 28 May 2021 to 01 July 2021 was 13.9219 compared to 14.1110 during the previous period.
“This led to a lower contribution to the Basic Fuel Prices on petrol, diesel and illuminating paraffin by 10.12 c/l, 9.78 c/l and 9.48 c/l respectively,” they said.