The Department of Mineral Resources and Energy has given motorists a bit of reprieve by announcing a hefty cut in fuel prices, effective from midnight on Tuesday.
The prices of 93 and 95 octane petrol will decrease by 71 cents and 68 cents respectively, while diesel will cost 67 cents less for 0,05% sulphur grade, and 69 cents less for 0.005% grade.
Those using illuminating paraffin will also pay less, with the wholesale price decreasing by 71 cents per litre. The maximum retail price for LP Gas will also decrease by 70 cents.
According to a statement from the department announcing the price decreases, the reasons are related to the decrease in average international prices for petrol, diesel and paraffin.
The Rand decreased in value to the dollar during the period between 26 November and 30 December 2021 compared to the same period in the previous year.
“The average Rand/US Dollar exchange rate for the period 26 November 2021 to 30 December 2021 was 15.9196 compared to 15.3891 during the previous period. This led to a higher contribution to the Basic Fuel Prices on petrol, diesel and illuminating paraffin by 29.95 c/l, 29.33 c/l and 29.01 c/l respectively,” the statement reads.