News Desk Reporter
Motorists will get some relief at the pumps this week after the Department of Mineral and Petroleum Resources announced a cut in petrol prices, although diesel users will face another increase.
The new fuel prices, announced by Mineral and Petroleum Resources Minister Gwede Mantashe, take effect on Wednesday, 5 August.
Petrol 93 and 95 octane will both decrease by 52 cents a litre. Diesel prices will rise by 138.44 cents a litre for 0.05% sulphur diesel and by 123.44 cents a litre for 0.005% sulphur diesel.
The wholesale price of illuminating paraffin will increase by 152 cents a litre, while the single maximum national retail price for illuminating paraffin will rise by 203 cents a litre.
The maximum retail price of LPGas will fall by 441 cents per kilogram. However, LPGas imported through the Port of Saldanha Bay in the Western Cape will increase by 503 cents per kilogram.
According to the department, lower international crude oil prices helped reduce the cost of petrol during the monthly review period. The average Brent crude oil price declined as lower global demand and the impact of a ceasefire memorandum of understanding between the United States and Iran outweighed renewed tensions between the two countries.
While petrol prices benefited from lower international product prices, diesel and illuminating paraffin were pushed higher by supply shortages. The department said diesel exports from Russia were restricted because of the Russia-Ukraine conflict, while some Middle Eastern refineries continued operating below capacity, tightening global supply.
The weaker rand also added pressure to local fuel prices after the currency lost ground against the US dollar during the review period.
Another factor affecting motorists is the adjustment of the slate levy, which will decrease from 113.94 cents to 61.38 cents a litre from Wednesday. The levy is used to recover underrecoveries in the fuel price system and is reviewed in line with the self-adjusting slate levy mechanism.
The department said the fuel price adjustments reflect a combination of international market movements and local economic factors. The official fuel price schedule for all magisterial district zones will be published tomorrow.