Small petrol price cut for May

The Department of Mineral Resources and Energy (DMRE) announced on Tuesday that from Wednesday consumers can expect the price of a litre of petrol – both 93 and 95 – to be 12 cents cheaper and that of diesel to be 92 cents (0.005% sulphur) and 98 cents (0.05%) more expensive.

Further, consumers can expect the wholesale price of paraffin to increase by 79.60 cents per litre, with its retail price to cost R1.49 more this month.

The latest fuel price adjustments were informed by various factors including the price of crude oil, international petroleum product prices and the rand/US dollar exchange rate.

“The main contributing factor to high crude oil prices is the concern caused by continued Russia/Ukraine conflict as Russia is one of the biggest global exporters of oil,” the DMRE says in a statement.

“The average international product prices of petrol decreased while diesel and IP (illuminating paraffin) increased due to a shortage of middle distillates in the market. Remember that the sanctions against Russia mean that diesel from Russia will not go into the international market so there is still a shortage there,” director of fuel price mechanism at the DMRE Robert Maake adds.

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Fuel levy relief measure remains

The department however reassured consumers that relief measures to soften the blow of fuel price increases will remain in place until the end of the month.

“Due to the ongoing Russia/Ukraine conflict which has affected fuel prices globally, the temporary reduction in the general fuel levy of R1.50 announced by the Minister of Finance in consultation with the Minister of Mineral Resources will continue during the month of May, until Tuesday May 31, 2022,” the department says.

“The total fuel levy will remain 244.00 c/l for petrol and 230.00 c/l for diesel during this period.”

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Read: Government cuts fuel levy by R1.50 per litre for two months