What motorists will pay for fuel from Wednesday

As predicted, fuel prices will decrease across the board on Wednesday when the monthly adjustments are made by the department of mineral resources and energy.

It is the fifth consecutive month of fuel price cuts and motorists can look forward to paying R1.06/l  less for 93 unleaded petrol, R1.14/l  less for 95 unleaded, R1.12/l  less for 0.005% sulphur diesel and a R1.14/l  cut in the price of 0.05% sulphur diesel. Illuminating paraffin will cost R1.11/l  less.

The differentials between 95 and 93 petrol are adjusted at the beginning of each quarter and account for the different price adjustments between the two grades.

The department attributed the decreases to a drop in international fuel prices and the rand appreciating against the dollar during the period under review. The rand strengthened from R18.06 to R17.67 between August 30 and September 26.

“Lower fuel prices put more disposable income in the pockets of consumers. This could stimulate broader economic activity as consumers may allocate more funds to goods, services, and leisure, thereby boosting retail sectors,” said Henry van der Merwe, chair of the SA Petroleum Retailers Association (Sapra).

"Hopefully it will also help ease some inflationary pressures. Fuel is a key input in the production and transportation of goods."

Van der Merwe said decreased fuel prices can help lower production costs, resulting in a reduction in the prices of goods and services which will help curb inflationary pressures, creating a more stable economic environment.

The continued decreases are also helping to boost business confidence, particularly for those businesses reliant on fuel-intensive operations, such as logistics, transport and manufacturing. 

“The ongoing reduction in fuel costs should impact operational expenses and could stimulate investment in other areas of the business, fostering growth and employment opportunities. Consumers will be the big winners with petrol and diesel prices dropping by over 100c per litre. They will experience significant savings when filling up their vehicles.

“We should also start to see these reductions translating into lower transport fares, benefitting those using taxis, buses, or other forms of public transport,” he said.

From Wednesday October 2 the following prices will apply:

Inland

Petrol 93 — R20.73

Petrol 95 — R21.05

Diesel 0.05% — R18.45

Diesel 0.005% — R18.57

Coast

Petrol 93 — R19.94

Petrol 95 — R20.26

Diesel 0.05% — R17.66

Diesel 0.005% — R17.81