Motorists can expect relief at the fuel pumps in October, with the price of all grades of petrol and diesel set to decrease from Wednesday, according to the latest monthly adjustments announced by the department of mineral and petroleum resources.
The price of 95 octane petrol will drop by R1.06 a litre while that for 93 octane will fall by R1.14, the department said on Monday. The diesel price will be reduced by R1.14 a litre and illuminating paraffin, which many low income South African households still rely on for cooking and lighting, will be R1.48 lower.
This is the fifth consecutive month that petrol prices have declined, with 95 octane petrol set to cost R21.05 a litre in Gauteng from Wednesday from R25.49 in May.
South Africa adjusts its fuel prices each month, based on the global oil price and the rand exchange rate.
The department attributed the latest round of price decreases to a mix of local and international factors, the most prominent being a dip in the average Brent crude oil price from $78.54 to $72.82 a barrel for the period under review. This was a result of increased production from major oil-producing countries despite lower demand concerns.
“The rand appreciated on average, against the US dollar … during the period under review. This led to lower contributions to the basic fuel prices of all products by over 21.00 cents per litre,” the department added.
The department said it had approved the implementation of revised transport tariffs into the petrol, diesel and illuminating paraffin price structures as an interim measure after the port of Port Elizabeth was temporarily closed after an accident in June.
