:/strong%20one%20hundred%20and%20eighteen%20cents%20per%20litre%20(118.00%20c/l)%20increase.strongPetrol%20(both%2095%20ULP%20and%20LRP):/strong%20one%20hundred%20and%20eighteen%20cents%20per%20litre%20(118.00%20c/l)%20increase.strongDiesel%20(0.05%%20sulphur):/strong%20twenty%20two%20cents%20per%20litre%20(22.00%20c/l)%20increase.strongDiesel%20(0.005%%20sulphur):%20/strongtwenty%20one%20cents%20per%20litre %20(21.00%20c/l)%20increase.strongIlluminating%20Paraffin%20(wholesale)/strong:%20forty%20cents%20per%20litre%20(40.00%20c/l)%20increase.strongSMNRP%20for%20IP:/strong%20fifty%20four%20cents%20per%20litre%20(54.00%20c/l)%20increase.strongMaximum%20LPGas%20Retail%20Price:%20/strongone%20hundred%20and%20ninety%20eight%20cents%20per%20kilogram%20(198.00%20c/kg)%20increase.img%20class=size-medium%20wp-image-1784%20aligncenter%20src=https://ibekachikwu.com/wp-content/uploads/2020/06/d1aaaa05-6891-4450-8917-42f781db22ed-300x174.jpg%20alt=%20width=300%20height=174%20/){kind=link}
The Minister of Mineral Resources and Energy in South Africa, Mr Gwede Mantashe, announced adjustments in fuel prices which went into effect from 3rd of June, 2020.
The country’s oil prices are reviewed monthly due to various international and local factors and part of the price determinants is the fact that South Africa imports from both the upstream and downstream, i.e., crude oil and finished products at prices set at the international level which include importation costs.
According to the Minister, reasons for the fuel price adjustments are:
First, the rise of the rand against the US Dollar during the period under review compared to the previous one, from 18.47 to 18.17 Rand per US Dollar, which had led to lower contributions to the basic prices of petrol, diesel and other illuminating paraffin by over 6.00 c/l.
Secondly, the rise in the price of the average Brent crude oil from $20 per barrel to $27.63 per barrel due to the compliance of OPEC+ to the cut in production by about ten million barrels, which went into effect on the first of May and has effectively removed about 10% of the global supply of oil.
Also, the increase in the international price and the increase in demand of all refined petroleum products, following that of crude oil and resulting in average under-recoveries of over 125.87 c/I on petrol, 28.90 c/l on diesel, and 46.41 c/l on illuminating paraffin.
The Minister notes that the price of petrol is still on average R2.00 lower than it was at the beginning of the lockdown.
Based on current local and international factors, the fuel prices for June 2020 will be adjusted as follows:
Petrol (both 93 ULP and LRP): one hundred and eighteen cents per litre (118.00 c/l) increase.
Petrol (both 95 ULP and LRP): one hundred and eighteen cents per litre (118.00 c/l) increase.
Diesel (0.05% sulphur): twenty two cents per litre (22.00 c/l) increase.
Diesel (0.005% sulphur): twenty one cents per litre (21.00 c/l) increase.
Illuminating Paraffin (wholesale): forty cents per litre (40.00 c/l) increase.
SMNRP for IP: fifty four cents per litre (54.00 c/l) increase.
Maximum LPGas Retail Price: one hundred and ninety eight cents per kilogram (198.00 c/kg) increase.
