Petrol price: Here’s how rates will be adjusted on 6 October

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Minister Gwede Mantashe said the adjustment of fuel prices for October – based on current local and international factors – will come into effect this week.

We’ve included data from the Central Energy Fund (CEF) below.

While this serves as an accurate forecast, the official changes will be gazetted on Wednesday, 6 October.

Fuel price estimates for October

While the petrol price takes a slight dip, diesel prices soared to new highs, with the upcoming increase of 22 cents per litre for both grades.

Mantashe said the price of 93 unleaded petrol will decrease by four cents a litre, while 95 will be reduced by one cent a litre.

Furthermore, paraffin will increase by 32 cents a litre, while LP-Gas users will pay seven cents more per kilogram.

Based on current local and international factors, the fuel prices for October 2021 will be adjusted as follows:

  • Petrol (both 93 ULP and LRP): four cents per litre decrease (R18 in September)
  • Petrol (both 95 ULP and LRP): one cents per litre decrease (R18.19 per litre in September)
  • Diesel (0.05%): 22.80 cents increase (R15.40 in September)
  • Diesel (0.005%): 22.80 cents increase (R15.42 in September)
    • Illuminating Paraffin (wholesale): 32 cents increase (R9.45 per litre in September)
    • SMNRP for IP: 43 cents increase
    • Maximum LPGas: seven cents per kilogram decrease

Impact of exchange rate

As per the CEF, the Rand appreciated against the US Dollar during the period under review, on average, when compared to the previous period.

“The average Rand/US Dollar exchange rate for the period 27 August 2021 to 30 September 2021 was 14.5654 compared to 14.7791 during the previous period. This led to a lower contribution to the Basic Fuel Prices on petrol, diesel and illuminating paraffin by 12.01 c/l, 11.35 c/l and 11.27 c/l respectively.”

Disclaimer: South Africa’s fuel prices are adjusted on a monthly basis, informed by international and local factors, such as imports on both crude oil and finished products, importation costs, etc.

How the fuel price is calculated

The fuel prices calculation depends on a number of factors, such as international oil prices, currency exchange rates and fuel taxes.

However, this is subject to change, as fuel prices are only calculated by the Department of Mineral Resources and Energy on the first Wednesday of every month.

A breakdown of fuel price forecast can be perused here.

Source: citizen