From Wednesday, 95-grade unleaded petrol will cost R21.59 per litre in Gauteng and R20.76 in coastal areas
The price of petrol in South Africa will decrease by 28 cents a litre from Wednesday, but that of diesel will go up by up to 65 cents, the department of mineral and petroleum resources said on Tuesday.
The wholesale price of illuminating paraffin, which many poor households still use for cooking and lighting, will rise by 32 cents a litre, the department said in a statement. Liquified petroleum (LP) gas, another crucial energy source for many homes, will cost 69 cents less per kilogram. In the Western Cape, the decrease in the price of gas will be a heftier 78 cents per kilogram.
From Wednesday, 95-grade unleaded petrol will cost R21.59 per litre in Gauteng, the country’s economic hub, and R20.76 in coastal areas. The price of diesel will be R20 and R19.17 per litre, respectively, while paraffin will cost R13.48 and R12.46. LP gas will sell for R36.08 a kilogram in Gauteng and R32.92 in coastal areas.
South Africa adjusts its fuel prices monthly — effective from the first Wednesday — based on the global oil price and the rand exchange rate. The country imports both crude oil and finished products at a price set at international level, including shipping costs.
“The average Brent Crude oil price decreased slightly from $69.36 to $69.06 during the period under review,” the mineral and petroleum resources department said.
“The main contributing factor to the lower crude oil price is the decision by Opec [Organization of the Petroleum Exporting Countries] to increase production and the uncertainty caused by looming US trade tariffs, including secondary tariffs which
could affect global economic growth and demand for crude oil.”
South Africa is bracing for a 30% tariff on exports to the US from 7 August, with the country being one of several targeted for the measure, which President Donald Trump’s government says is aimed at boosting its manufacturers and labour force.
The mineral and petroleum resources department said, during the period under review, the average international petrol prices decreased in line with the decrease in crude oil prices. The cost of diesel and paraffin, however, rose due to low stocks in the US, unplanned refinery shutdowns and closures of refineries in the EU, which resulted in tight supply.
The rand appreciated on average against the US dollar from R17.84 to R17.76 when compared to the previous month. This led to lower contributions to the basic fuel prices of petrol by between four and five cents per litre on all products.