The start of 2025 brings adjustments to South Africa’s fuel prices, with increases for Petrol 93, Petrol 95, and diesel. These changes will take effect on 1 January 2025, as announced by the Minister of Mineral and Petroleum Resources.
Fuel Price Adjustments
Increases:
– Petrol 93 (ULP & LRP): 19 cents per litre (c/l)
– Petrol 95: 12.00 c/l
– Diesel (0.05% sulphur): 7.50 c/l
– Diesel (0.005% sulphur): 10.50 c/l
– Maximum LPGas Retail Price: 13.00 c/kg
Decreases:
– Illuminating Paraffin (wholesale): 9.50 c/l
– Single Maximum National Retail Price (SMNRP) for Illuminating Paraffin: 13.00 c/l
South Africa adjusts fuel prices monthly, reflecting both local and international factors.
Key Reasons for Adjustments
1. Crude Oil Prices
– The average Brent Crude oil price increased slightly from $72.70 to $72.78 during the review period.
– Influencing factors include OPEC+ maintaining production levels in December and oversupply from non-OPEC producers amid slow global economic growth.
2. International Petroleum Product Prices
– Petrol prices mirrored the upward trend of crude oil.
– Middle distillates saw a slight decrease due to increased inventories for the winter season in the Northern Hemisphere.
– Contributions to the Basic Fuel Prices (BFP):
– Petrol: +9.33 c/l
– Diesel: +2.93 c/l
– Illuminating Paraffin: -18.92 c/l
3. Rand/US Dollar Exchange Rate
– The rand weakened against the US Dollar, averaging R18.11/USD, up from R17.93/USD in the previous period.
– This depreciation led to higher contributions to the BFP for:
– Petrol: +10.58 c/l
– Diesel: +11.11 c/l
– Illuminating Paraffin: +10.90 c/l
4. Implementation of the Slate Levy
– As of November 2024, the cumulative slate balance for petrol and diesel was R4.303 billion.
– The slate levy remains unchanged at zero cents per litre for petrol and diesel.
5. Octane Differentials Between 95 and 93 Petrol Grades
– Octane differentials, adjusted quarterly, have changed, resulting in varied retail prices for 95 and 93 octanes across fuel-pricing zones starting 1 January 2025.
6. Restoration of Magisterial District Zones (MDZ)
– Repairs at the Port of Port Elizabeth are complete, restoring normal operations.
– Interim MDZ adjustments, implemented during the port’s closure in October 2024, will revert to their original structure as of 1 January 2025.
Upcoming Fuel Price Schedule
The revised fuel price schedule for all zones will be published on 31 December 2024.
