Current data indicates that conditions are positive for a drop in petrol and diesel prices in September 2024. Picture: iStock
Despite the high cost of fuel, Minister of Mineral and Petroleum Resources Gwede Mantashe has explained his department’s efforts in reducing the petrol price for average South Africans.
The current petrol price is made up of not only the cost of fuel but also several levies.
Responding to a recent parliamentary question by uMkhonto weSizwe (MK) party MP Thalente Thuthukani Sakhile Kubheka, Mantashe said his department had provided relief by removing a 15% premium from the freight rate last year.
The freight rate is the cost of shipping fuel to South Africa from international markets.
According to the minister, the mineral and petroleum department also repealed the Demand Side Management Levy of 10 cents per litre imposed on unleaded 95.
“Cabinet has recently announced a Ministerial Task Team to review the fuel pricing formulae holistically following the announcement by the State President during the opening of Parliament,” Mantashe added.
Mantashe’s response came as petrol and diesel prices decreased for a fifth month in a row.
As of midnight, motorists will save approximately R50 on a standard tank of petrol.
This reduction is attributed to the consistent over-recoveries in both petrol and diesel throughout September, resulting from feeble global oil prices and a robust rand.
Unleaded 93 sees a decrease of R1.06 per litre, while 95 comes down by R1.14 per litre.
Diesel 0.05% takes a R1.14 per litre tumble, while 0.005% diesel falls by R1.12 per litre.
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