• The Department of Mineral Resources has announced the changes in the price of petrol and other fuels coming into effect today.
• These include a decrease of nearly R1 to both grades of petrol, and other decreases across the board.
• The department says that a lower Brent Crude Oil price, as well as a stronger Rand against the US Dollar influenced this latest price decrease.

For the last four months, South African motorists have been able to enjoy a string of decreasing petrol prices, with the latest decrease for September perhaps the largest across the board. The following changes to the petrol prices will come into effect on Wednesday, 4th September 2024.

Here are the changes to the price of petrol and other fuels:

• “Petrol 93 to decrease by 92 cents per litre,
• Petrol 95 to decrease by 92 cents per litre,
• Diesel 0.05 percent to decrease by 79 cents per litre,
• Diesel 0.005 percent to decrease by R1.05 per litre,
• Illuminating Paraffin (wholesale) to decrease by R1.03 per litre,
• Liquid petroleum gas to decrease by 10 cents per kg.“

“South Africa’s fuel prices are adjusted monthly, informed by international and local factors. International factors include the fact that South Africa imports both crude oil and finished products at a price set at the international level, including importation costs, e.g., shipping costs,” writes the Department of Mineral Resources in a statement.

The department says that September 2024’s petrol price win is on the back of a number of international circumstances that favour South Africa. Including a decrease to the average price of Brent Crude Oil, from $83.55 to $78.54.

“The main contributing factors are the increased production from major oil-producing countries despite lower demand concerns and the anticipated interest rate cuts by the US Federal Reserve,” it adds.

Other factors that influenced lower prices include a decrease in the average international petroleum price product, and the gain of the South African Rand against the US Dollar, which is the currency the country purchases petrol and other fuels.

The trend of the Rand gaining against the US Dollar has been a trend for the last several months, when it comes to lower petrol prices.

[Image – Photo by engin akyurt on Unsplash]