News
Fuel, Paraffin, and Gas Prices on the Rise in September
In September, consumers in South Africa can anticipate an increase in fuel and gas prices. These adjustments, set to take effect soon, will impact various types of fuel and gas. Here’s a breakdown of the expected price changes:
- Petrol: 95 and 93 petrol grades will likely rise by R1.71.
- Diesel: Diesel with 0.05% sulphur content will increase by R2.84, while diesel with 0.005% will increase by R2.76.
- Illuminating Paraffin: The price of wholesale illuminating paraffin will climb by R2.78, and the Single Maximum National Retail Price for illuminating paraffin will likely rise by R3.70.
- LPGas: The Maximum Retail Price of LPGas is forecasted to increase by R2.26.
According to SANews, the Department of Mineral Resources and Energy attributed these price hikes to several factors, including an increase in the price of Brent Crude Oil. Additionally, issues like low inventories, refinery outages, and changes in shipping have impacted the production and distribution of these fuels.
Also read: Big Increase in Fuel Prices Expected for September, Warns AA
In the case of petrol, production costs have risen due to difficulties in sourcing the necessary blending components used in summer-grade petrol production. Diesel and paraffin prices have increased due to lower shipments of Russia’s Urals crude oil, which is rich in middle distillates, and rising demand for these products ahead of the winter season in the Northern Hemisphere.
LPGas prices have been affected by higher prices of Propane and Butane. These factors contributed to significant increases in the Basic Fuel Prices of petrol, diesel, and illuminating paraffin.
The rand’s depreciation against the dollar has also affected the price adjustments. Additionally, a DMRE-approved 5 cents per litre increase in the price structure will accommodate wage increases for forecourt employees, aligning with the Motor Industry Bargaining Council (MIBCO) Agreement.
These adjusted prices are scheduled for Wednesday, and consumers should prepare themselves for the impact on their expenses.
Also read:
Picture: Unsplash / Erik Mclean
Follow us on Google News.
