The Department of Minerals and Petroleum Resources has announced that South African motorists can expect a decrease in fuel prices for all grades in August.
The price adjustments, effective from Wednesday, 6 August, are as follows:
– Petrol 93 (ULP and LRP): 15 cents decrease
– Petrol 95 (ULP and LRP): 15 cents decrease
– Diesel (0.05% sulphur): 28 cents decrease
– Diesel (0.005% sulphur): 17 cents decrease
– Illuminating Paraffin (wholesale): 22 cents decrease
– Single Maximum National Retail Price for illuminating paraffin: 29 cents decrease
– Maximum LP Gas Retail Price: 14 cents per kg decrease
For instance, in Gauteng, the price of 95 petrol, currently at R23.26 per litre, will drop to R23.11 per litre from Wednesday.
In a statement released on Monday, 5 August, the department outlined the global and local factors influencing this month’s fuel price changes.
Global Influences:
– The average Brent Crude oil price rose slightly from $82.24 to $83.55 per barrel during the review period. Contributing factors included reduced US oil inventories, production cuts in Canada due to wildfires, ongoing tensions in the Middle East, and continued output restrictions by OPEC (Organization of the Petroleum Exporting Countries).
Local Factors:
– While international product prices for petrol saw a slight increase due to rising summer demand in the Northern Hemisphere, prices for diesel and illuminating paraffin declined during the same period.
– The South African rand appreciated against the US dollar, moving from an average of R18.44 to R18.23 per USD. This stronger rand reduced the Basic Fuel Prices of all products by approximately 14 cents per litre.
