Faizel Patel – 31/07/2021
Motorists will have to dig deeper into their pockets after the Energy Department announced whopping increases in the prices of petrol and diesel.
The price of both grades of petrol, 93 and 95 octane will increase by 91 cents per litre from Wednesday, 4 August.
The prices of different grades of diesel (0.05% sulphur) increases 55,58 cents per litre and (0.005% sulphur) by 54.58 cents per litre while illuminating paraffin will increase by 50 cents per litre.
The price of LP gas increases by R2.26 per kg.
The Energy Department says the main reason for the fuel price adjustments is due to the average Brent Crude oil price increased from 73.00USD to 74.00USD per barrel during the period under review while the Rand also depreciated, on average, against the US Dollar (from 13.92 to 14.54 Rand per USD) during the period under review when compared to the previous one.
“The American Petroleum Institute reported that the decline in the crude oil inventories reached a total of nearly 54 million barrels and this contributed to higher oil prices during July 2021. A levy of 6.58 cents per litre will be implemented into the prices structures of petrol and diesel in line with the Self-Adjusting Slate Mechanism rules effective from the 4th of August 2021.”
South Africa’s fuel prices are adjusted on a monthly basis, informed by international and local factors.