Fuel price expected to rise again
Motorists will have to dig even deeper into their pockets.
PRICES for all grades and classifications of petrol, illuminated paraffin, and retail gas are expected to rise starting on Wednesday.
Minister of Mineral Resources and Energy Gwede Mantashe announced the increase on Monday evening.
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Several international variables, according to Minister Mantashe, continue to exert pressure on the price of Brent Crude oil, which has progressively grown to more than USD $100 in recent weeks.
According to Mantashe, the average Brent Crude oil price has risen, with the primary contributors being Russia’s continuing sanctions. This is causing energy flows to be disrupted, as Russia is one of the world’s largest oil exporters.
“OPEC and non-OPEC nations are limiting petroleum supply despite rising global demand due to loosened COVID-19 limitations [and] Yemen rebels attacking Saudi Arabian storage facilities, causing supply disruptions,” Mantashe added.
Other variables contributing to the increase include the average strengthening of the Rand against the US Dollar, price changes in refined petroleum products, and a global diesel scarcity.
The following price hikes are expected:
- Petrol (both 93 ULP and LRP) is expected to rise by some 28c per litre.
- Petrol (both 95 ULP and LRP) will cost at least 36c more by the litre.
- 0.05% sulphur diesel will rise by R1.52.
- Diesel 0.005% sulphur will cost more after an increase of about R1.68.
- Those purchasing illuminating paraffin at wholesale price are expected to pay R2.66 more per litre.
- The retail price for illuminating paraffin is expected to increase by at least R3.55 per litre.
- Maximum retail price for gas is also on the up – costing at least R2.50 more per litre.
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