The Department of Petroleum and Mineral Resources (DMPR) has announced significant fuel price increases that will take effect from Wednesday, with petrol and diesel prices rising by between R3.27 and R6.19 per litre. The department says the adjustments come amid rising global oil prices and ongoing geopolitical tensions affecting supply chains.
Petrol (93 and 95 ULP & LRP) will increase by R3.27 per litre. Diesel prices will rise by R6.19 per litre for both 0.05% sulphur and 0.005% sulphur grades. Illuminating paraffin will increase by R4.22 per litre at wholesale level and R5.63 at retail level. LPGas will also see an increase of R5.07 per kilogram in Gauteng and R5.78 per kilogram in the Western Cape.
According to the department, the increases are largely driven by a rise in the average Brent Crude oil price, which climbed from $93.67 to $101 during the review period.
“This is due to continued tension between the US and Iran, the closure of the Strait of Hormuz and damage to other crucial infrastructure which have affected crude oil supply,” the department said.
The department added that international product prices followed the upward trend in crude oil, with diesel and paraffin recording sharper increases due to higher demand and reduced supply from the Persian Gulf.
“These factors led to higher contributions to the Basic Fuel Prices of petrol, diesel and illuminating paraffin by R2.04 per litre, R4.96 per litre and R4.21 per litre respectively,” the statement read.
Despite global pressures, the rand remained stable against the US dollar during the period under review, contributing less than one cent per litre to fuel pricing adjustments.
