The Department of Energy has confirmed the fuel price adjustments for June.
From 1 June, South Africans will pay 76 cents more per litre of diesel. Petrol price will go up by 52 cents per litre for both grades. The paraffin price will go up by 83 cents per litre and the biggest increase will be for liquefied petroleum gas which is going up by 98 cents per kilogram.
The department released a statement explaining that South Africa’s fuel prices are adjusted on a monthly basis, dependent on international and local factors.
The main reasons for the fuel price adjustments in June are:
- The average increase in the prices of petroleum products in the international markets (about 30 cents per litre for petrol and 56 cents per litre for diesel respectively)
- The weakening of the rand against the US dollar during the period under review which contributed to the price adjustments by more than 20 cents per litre
The price differential between petrol and diesel can be attributed to the supply-demand patterns in the international markets. Higher diesel prices in this month’s short-term economic outlook reflect a higher forecast for crude oil prices and the fact that refineries are focused on producing more petrol for the summer season in Europe. Analysts expect the diesel market to be tight in the next few months.
The department urged motorists and the general public to use these petroleum products efficiently during these tough economic times.
Read: Fuel price set for big increase – AA
