South Africa increases price of petrol and related products

The South African Government, Wednesday, implemented an increase in the pump price of petrol in the country forcing consumers to re-adjust their budgets ahead of more hikes expected within a few months.

The Finance Minister, Tito Mboweni had made the inaugural announcement during a budget speech while stating that South Africans should expect another price increase next month due to tax hikes.

Earlier, Monday, the Department of Energy announced that petrol prices will increase by R0.74 (Rand) a litre while the wholesale price of diesel increases to R0.93.

The department also announced that motorists in Gauteng are to pay R14.60 a litre for 93 unleaded petrol and R14.82 for 95 Octane.

This is the second hike in the petrol price since December 2018.

The Department of Energy said that the increases became inevitable because crude oil, the average international product prices for petrol, diesel and illuminating paraffin increased during the period under review.

“The current fuel price adjustments are due mainly to international factors, namely, the increase in crude oil prices.

“As had been predicted last year, OPEC (Organization of the Petroleum Exporting Countries) is determined to support higher crude oil prices by reducing production. They are achieving their objective due to the support by other non-OPEC producers,” said the department.

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Source: SAnews.gov.za