Fuel price relief? Minor adjustments expected at midnight

While fuel prices are expected to decrease slightly at midnight (Tuesday), it is not much of a relief for cash-strapped motorists with both grades of petrol set to decrease by 15 cents per litre.

This was announced by the Department of Mineral Resources and Energy (DMRE) on Monday.

The price of diesel is set to decrease by 28 cents per litre, while illuminating paraffin will come down by 22 cents per litre.

Crude oil and international petroleum prices were among the main contributors to the adjustments.

These factors include a decline in US inventories, reduced production from Canada due to the wildfires, tensions in the Middle East as well as continued production cuts by Organisation of the Petroleum Exporting Countries.

“The average international product prices for petrol increased slightly on average as the summer seasonal demand in the Northern Hemisphere improved, while diesel and illuminating paraffin prices decreased on average during the period under review.

“The Rand appreciated on average against the US Dollar [from 18.44 to 18.23 Rand per USD] during the period under review when compared to the previous one. This led to lower contributions to the basic fuel prices of all products,” the DMRE said.

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