5 September 2023

By: Michelle van der Spuy

The panic over this month’s fuel prices was not unfounded as visits to the petrol station from Wednesday will be even more painful than usual.

The Department of Mineral Resources and Energy announced the following increases in fuel prices yesterday:

• Petrol (93 octane and 95 octane): R1.71 per litre more expensive
• Diesel (0.05% sulfur): R2.84 per litre more expensive
• Diesel (0.005% sulfur): R2.76 per litre more expensive
• Paraffin: R2.78 per litre more expensive
• Gas: R2.26 per litre more expensive

According to the department, the average price of Brent crude oil – which increased from $79.75 per barrel to $84.78 due to production reductions by Saudi Arabia during the period – is one of the reasons fuel prices will rise so sharply.

The average international prices of petrol, diesel, paraffin and gas have also increased. Petrol prices have surged due to low reserves and disrupted refineries. A decrease in shipments of Russia’s Urals crude oil and higher demand from the northern hemisphere have driven up diesel and paraffin prices.

The weakening of the rand – from R18.28 to R18.67 against the dollar – contributed to the prices of petrol, diesel and paraffin increasing by 29.6c per litre, 31.33c per litre, and 31.58c per litre, respectively.