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NELSPRUIT – Diesel has never cost as much as now. On Wednesday the price of a litre of diesel increased to R13,82.
In 2007, the prices overlapped with diesel’s price outstripping that of petrol’s the following year, Since then, petrol has remained more expensive. According to cars.co.za, diesel cost R3,29 a litre in 2003. Ten years later, the price stood at R12,60 a litre in October and R13,72 in November.
According to pressportal.co.za, the prices of diesel and petrol differ due to their different applications in the economy. “Given their different uses, they have different demand patterns and therefore, different prices,” it stated.
While petrol is mainly used by private motorists, diesel is used in industries as well as heavy-vehicle transport. “It doesn’t cost more to produce diesel, however, if the price didn’t rise, there would be a shortage in the global economy.”
The Department of Energy said last week, that the average international product prices of petrol, diesel and illuminating paraffin increased from November 1 to 28, affecting the prices. In addition, the average Rand/Dollar exchange rate weakened. At the time of going to print, it stood at R10,37 for a dollar.
“The weakening of the Rand against the Dollar increased the contribution to the Basic Fuels Price,” the department said in a statement. It added that the slate levy on petrol and diesel will decrease by R4,38/l to R8,78/l from December 4.