The Department of Energy has announced that motorists will pay more for fuel. South Africa’s fuel prices are adjusted on a monthly basis, informed by international and local factors.
International factors include the fact that South Africa imports both crude oil and finished products at a price set by the global markets, including shipping costs. The main reason for the fuel price increase is the high crude oil prices which resulted in higher prices (on average) for all the petroleum products in the international markets in May 2015 compared to April 2015. The Rand appreciated against the US Dollar compared to the previous fuel price review period.
The international price of Brent crude oil increased on average during the period under review compared to the previous one. The US crude stockpiles fell for a second straight week, suggesting the world’s biggest oil market is re-balancing. Furthermore, the renewed tensions in the Middle East (Iraq) has raised worries about the security of supply of crude oil. The International product prices increased on average, following the Brent crude oil prices, during the period under review.
Based on current local and international factors, the fuel prices for June 2015 in Gauteng will be adjusted as follows: Diesel (0.005% Sulphur) will increase by 49 cents per litre
2. Diesel (0.05% Sulphur) will increase by 46 cents per litre
3. Petrol (all grades) will increase by 47 cents per litre.
4. Illuminating paraffin (SMNRP) will increase by 56 cents per litre
5. Illuminating paraffin (wholesale price) will increase by 42 cents per litre
6. Liquefied Petroleum Gas (LPG) will increase by 100 cents per kilogram
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