South Africans must brace for another hit when it comes to the rising cost of petrol in the country, as the Department of Mineral Resources and Energy (DMRE) has outlined the increases as of 6th July onwards.

It marks back to back months were the petrol price has risen sharply.

The latest increase sees petrol rise by R2.37 per litre, which is only marginally less than the previous month, which set a new record of R2.43 in June.

Consequently from 6th July onwards, a litre of 93 ULP or LRP petrol will cost R23.61 per litre, while a litre of 95 ULP or LRP petrol will cost R26.74 per litre.

The full range of costs, provided by the DMRE, is as follows:

• “Petrol (both 93 ULP and LRP): two hundred and thirty seven cents per litre (237.00 c/l) increase;
• Petrol (both 95 ULP and LRP): two hundred and fifty seven cents per litre (257.00 c/l) increase;
• Diesel (0.05% sulphur): two hundred and thirty one cents per litre (231.00 c/l) increase;
• Diesel (0.005% sulphur):  two hundred and thirty cents per litre (230.00 c/l) increase;
• Illuminating Paraffin (wholesale): one hundred and sixty six cents per litre (166.00 c/l) increase;
• SMNRP for IP: two hundred and twenty one cents per litre (221.00 c/l) increase;
• Maximum LPGas Retail Price: two hundred and eighteen cents per kilogram (218.00 c/kg) decrease.”

The reason for the increases are far ranging, with ongoing sanctions against Russia and increased demand in China as the economy kicks into gear gain, cited as factors.

“Increasing demand for crude oil as China lifts covid-19 restrictions. OPEC has reduced demand forecast due to recession fears which could lead to economic slow-down and less demand for crude oil. The war premium is still priced into the cost of crude oil,” says the DMRE.

“EU reached an agreement to partially ban crude oil and petroleum products from Russia by the end of the year,” it adds.

For another month, South Africans will need to make some hard decisions in terms of travel as the rising costs of petrol become too difficult to take.

[Image – Photo by Kyle Bushnell on Unsplash]