Petrol and diesel prices to hit record highs at midnight

Petrol up by R2.43 and diesel by R1.10 a litre, but it could have been worse without the extended fuel levy holiday

31 May 2022 - 16:45 By Staff Writer
subscribe Just R20 for the first month. Support independent journalism by subscribing to our digital news package.
Subscribe now
Residents queue in their cars to buy petrol, 31 May 2022, in Floracliffe, Roodepoort, West of Johannesburg. The price of petrol, 93 and 95 unleaded, will rise by R2.43 and R2.33 per litre on Wedesday.
Residents queue in their cars to buy petrol, 31 May 2022, in Floracliffe, Roodepoort, West of Johannesburg. The price of petrol, 93 and 95 unleaded, will rise by R2.43 and R2.33 per litre on Wedesday.
Image: Alaister Russell

The department of mineral resources and energy (DMRE) has announced the petrol price will increase at midnight by between R2.33 and R2.43/l , while diesel and illuminating paraffin will rise by R1.10/l and R1.56/l, respectively.

It raises the inland price of petrol to a record R24.17 for 95 unleaded and R23.94 for 93 unleaded. The wholesale price of diesel also reaches new record highs, with high-sulphur 0.05% diesel inland priced at R23.09 and low-sulphur 0.005% at R23.23.

However, the price hikes would have been worse had government not extended the R1.50 fuel levy holiday that was due to have expired today. Earlier today, the ministers of finance and mineral resources and energy announced the relief would be extended for another two months.

According to a joint media statement published on the National Treasury website, this will take the form of a continuation of the relief of R1.50 per litre for the first month, from June 1 to July 6, and then a downward adjustment to the relief for the second month to 75c per litre from July 7 to August 2. The temporary relief will be withdrawn from August 3.

Residents queue in their cars to buy petrol, 31 May 2022, in Floracliffe, Roodepoort, West of Johannesburg. The price of petrol, 93 and 95 unleaded, will rise by R2.43 and R2.33 per litre on Wednesday.
Residents queue in their cars to buy petrol, 31 May 2022, in Floracliffe, Roodepoort, West of Johannesburg. The price of petrol, 93 and 95 unleaded, will rise by R2.43 and R2.33 per litre on Wednesday.
Image: Alaister Russell

Without this extension, already cash-strapped motorists would have been hit by a petrol price hike of around R4, pushing the price of 95 octane unleaded petrol over the R25 a litre mark.

The ministers announced on March 31 that the Demand Side Management Levy (DSML) of 10c/l on 95 unleaded petrol sold inland would be terminated with effect from June 1 2022.

The central energy fund (CEF) attributed the latest price hikes to the increase in international petrol, diesel and paraffin prices during the period under review, and the rand depreciating against the dollar.

The average Rand/US Dollar exchange rate for the period April 28 to May 26 was 15.95 compared to 14.89 during the previous period. This led to a higher contribution to the basic fuel prices on petrol, diesel and illuminating paraffin by 99.49 c/l, 104.69 c/l and 104.47 c/l respectively.

Residents queue in their cars to buy petrol, 31 May 2022, in Floracliffe, Roodepoort, West of Johannesburg. The price of petrol, 93 and 95 unleaded, will rise by R2.43 and R2.33 per litre on Wednesday.
Residents queue in their cars to buy petrol, 31 May 2022, in Floracliffe, Roodepoort, West of Johannesburg. The price of petrol, 93 and 95 unleaded, will rise by R2.43 and R2.33 per litre on Wednesday.
Image: Alaister Russell
Motorists line up for fuel at fuel stations in Empire Road, Parktown.
Motorists line up for fuel at fuel stations in Empire Road, Parktown.
Image: Veli Nhlapo
Motorists line up for fuel at fuel stations in Empire Road, Parktown.
Motorists line up for fuel at fuel stations in Empire Road, Parktown.
Image: Veli Nhlapo

subscribe Just R20 for the first month. Support independent journalism by subscribing to our digital news package.
Subscribe now

Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.