It would appear things are on the up for cash-strapped South Africans, thanks to the elections and, most recently, a drop in fuel prices.
The Gross National Happiness Today (GNH.today) project recently reported that the happiness levels in SA had trended upward since the election results were announced last month and, giving citizens even more reason to smile, fuel prices dropped at midnight on July 3.
Vishal Premlall, the national director of the South African Petroleum Retailers Association (Sapra), representing the interest of numerous petroleum retailers in SA and an association of the Retail Motor Industry Organisation, said the drop in fuel prices is a positive trend and one that South Africans need to give them some respite from the harsh economic climate and rising costs of living.
“Increasing fuel costs impact every sector of society because they directly translate into higher operational costs for businesses and a higher cost of living for consumers. Small businesses are often hardest hit when fuel goes up, and with SMEs being such a critical sector of the economy, relief in the form of a decrease in fuel costs is tremendous news.
“With the return to school, this decrease will also positively impact commuting expenses and give families more purchasing power. Naturally, the broader economic implications of the decrease in fuel costs are equally, if not more, significant,” said Premlall.
He adds that Sapra would like to see this trend continue because the fuel pumps are one sector of the economy where the consumer can see they are paying less. Any saving, he says, for South Africans at the moment is significant.
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“Consumers are frustrated by not always seeing a drop in fuel prices translate into savings at the grocery tills and in other spending areas, but their local fuel stations should certainly be a happier place to shop now.”
Premlall concludes that Sapra supports any government and stakeholder interventions that enhance energy resilience and explore alternative energy sources for the greater good of a sustainable economic future.
“We hope consumers lined up at the pumps before midnight on July 3 just as they would have if the fuel price increased, but this time in celebration of a saving and having a little more money left in the household or business budget.”
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