The department of mineral resources and energy has officially started the process of deregulating the price of 93 octane petrol in South Africa.
Mineral Resources Minister Gwede Mantashe on Friday gazetted his notice of the intention to introduce a price cap, dated 30 June 2022.
“I, Samson Gwede Mantashe, the Minister of Mineral Resources and Energy, under Section 2(1)(c) of the Petroleum Products Act of 1977 hereby give notice of the intention to introduce a price cap or a maximum price for petrol 93 Octane. Comments from stakeholders should be submitted within 30 days of the publication of this notice,” reads the gazette.
Interested persons and organisations are invited to submit comments in writing on the proposed intention, for the attention of Raphi Maake, to the department of mineral resources and energy in Pretoria, or hand deliver them to Matimba House.
Comments may also be sent to firstname.lastname@example.org.
“Kindly provide the name, address, telephone number and email address of the person or organisation submitting the comments. Comments on the notice must be submitted no later than 30 days from the date of the publication of this notice. Comments received after the closing date may not be considered.”
This comes a few weeks after the Democratic Alliance (DA) started working on a new Private Members Bill (PMB) that will deregulate the fuel sector to protect consumers against exorbitant fuel prices.
The DA’s draft Bill will seek to amend section 2 of the Petroleum Products Act, which, according to the party, the ANC government has used to “stifle competition by mandating petrol prices across the country”.
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“The DA will also ensure that the Competition Commission will keep a close eye on the market and to ensure that price gouging does not occur, particularly in rural and small towns where competition may not be fully developed. This will ensure that in regions where competition may be low, fuel prices may not exceed an unreasonably high level,” said DA Shadow Minister of Mineral Resources and Energy Kevin Mileham.
“When the industry is deregulated, competition among wholesalers and retailers will be increased. This should result in lower pricing at the pump as retailers will be allowed to compete on price to attract customers, which would be a great relief for South African motorists.”