petrol price increase fuel price increase March 2024 South Africa Brace for significant fuel price hikes on March 6. File picture: David Ritchie / Independent Media.
As expected, South African motorists are facing significant petrol and diesel price increases from Wednesday, March 6.
The Department of Mineral Resources Energy (DMRE) has confirmed that the price of both grades of petrol will rise by R1.21 per litre, while diesel is set to increase by between R1.06 (500ppm) and R1.19 (50ppm).
Following the price hikes a litre of 95 Unleaded will cost you R23.73 at the coast and R24.45 in the inland regions, where 93 Unleaded will rise to R24.13. The wholesale price of 50ppm diesel will increase to R21.91 at the coast and R22.62 inland, keeping in mind that the unregulated retail prices will be at least R2 higher than that.
How much more for a tank?
The cost of filling up a small hatchback with 30 litres of petrol will increase by around R36 from Wednesday while a 50 litre refuel in a medium car or SUV will set you back an additional R60.50.
Putting 70 litres of diesel into your bakkie or large SUV will cost between R74 and R83.
What’s going on with fuel prices?
This month’s fuel price increases come mainly as a result of higher international oil prices, which added around R1 to the over-recovery recorded during February. These higher product prices reportedly came as a result of Middle Eastern conflict and OPEC production cuts.
ALSO READ: Here’s how South Africa’s fuel price is calculated
Don’t expect any relief on the horizon as experts predict tighter supplies will be a reality for the remainder of 2024.
Dennis Kissler, a senior trader at BOK Financial told Reuters that OPEC was currently aiming to push Brent Crude oil prices to around $85 per barrel. Oil traded between $82 and $84 for much of February.
High taxes continue to weigh down local fuel prices, with the General Fuel Levy and Road Accident Fund levy collectively adding R6.13 to every litre of fuel in South Africa. Thankfully this year’s Budget Speech did not bring an increase to these levies.
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