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By Citizen Reporter


July petrol price: South Africans could pay R27 a litre sooner than expected

Urgent intervention is needed to reduce the fuel price, because: 'Not every South African has millions of dollars shoved in a couch...', the DA said.

The Automobile Association (AA) expressed renewed urgency for a revision of South Africa’s petrol price structure in the wake of another looming record increase for July.

July petrol price

What to expect

In tabling its latest mid-month prediction, the Central Energy Fund says current data points to another damaging increase of R1.98 a litre for 95 unleaded.

Meanwhile, an increase of R1.81 a litre for 93 unleaded and between R1.43 and R1.44 for diesel can be expected as well.

The expected increase for illuminating paraffin is set to be R1.66.

R27 per litre

While still only a prediction, the final uptake is expected to push the price of the former to over R27 a litre inland and within range of escalating rumours claiming a pump price of R30 a litre well before the end of the year.

“Our view has always been that a review of the structure and components of how the petrol price is calculated needs to be looked at,” AA spokesperson Layton Beard told The Citizen.

He stated the eventual decision should not solely reside with governmental originations, but also the private sector and civil organisations such as the AA, in order to avoid the current status.

Calls for petrol price decrease

Earlier this week, the Democratic Alliance (DA) remarked that at least R6 needs to be removed from the current price as a means of cutting the 33% government tax on fuel.

“Not every South African has millions of dollars shoved in a couch to weather them through this winter of discontent,” DA leader John Steenhuisen said in a statement.

“Poor families spend the highest proportion of their income on transport and food. Cutting fuel prices by R6 will help lift millions out of poverty. Fuel prices are high because government slaps on taxes which make up a third of the fuel price.

“The government needs these taxes to fill the hole in the budget left from corruption and waste. High fuel taxes are the price of a corrupt, incapable state”.

‘Cost of living crisis’

Steenhuisen further stated the lack of the tax would ease the burden on already struggling households, which are unable to make ends meet due to rising fuel and food prices.

“South Africans shouldn’t have to wait two years to pay R6 less for petrol. And they can’t afford to wait two years before they can pay for food and taxis. We need to end the cost of living crisis now”.

Addressing the mentioned claims of fuel reaching R30 a litre, Beard said a solution to Russia’s war in Ukraine would be the deciding factor, along with the Rand’s performance against the US Dollar.

“Such a determination (about petrol reaching R30 a litre) would be purely speculative,” Beard said, adding that “a solution could be found tomorrow” that could possibly result in a rethinking of sanctions against Russia should anything transpire.

He however encouraged motorists to avoid unnecessary trips in order to save fuel, make use of car-pooling and consider the use of public transport if and where possible.  

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