The minister of Mineral Resources and Energy, Gwede Mantashe, announced the adjustment of fuel prices for July 2019 are based on current local and international factors. The adjustment will come into effect on the 3rd of July 2019.
According to the Automobile Association of South African (AA), lower international oil prices throughout June have set up a substantial fuel price drop for July, and the reduction could have been greater had it not been for the Rand. This is according to the unaudited month-end fuel price data released by the Central Energy Fund.
June was the weakest month for oil in the last quarter, with crude briefly slipping below $60 to the barrel at mid-month.
However, renewed tension in the Middle East and a downturn in USA oil inventories have put pressure on the commodity, which have ticked up over the past few days.
The department added that effective from 3 July 2019, the Slate Levy on Petrol and Diesel will be four comma three eight cents per litre (4.38 c/l) cents per litre. At the end of May 2019, the combined cumulative Slate Balance on Petrol and Diesel amounted to minus R555.90 million.
Based on current local and international factors, the fuel prices for July 2019 will be adjusted as follows:
- Petrol (93 ULP and LRP): ninety six cents per litre (96.00 c/l) decrease;
- Petrol (95 ULP and LRP): ninety five cents per litre (95.00 c/l) decrease;
- Diesel (0.05% sulphur): seventy four comma seven eight cents per litre (74.78 c/l) decrease;
- Diesel (0.005% sulphur): seventy five comma seven eight cents per litre (75.78 c/l) decrease;
- Illuminating paraffin (wholesale): fifty seven cents per litre (57.00 c/l) decrease;
- SMNRP for IP: seventy six cents per litre (76.00 c/l) decrease;
- Maximum LPGas retail price: one hundred and thirty three cents per kilogram (133.00 c/kg) decrease.