Good News for SA Motorists: Petrol Price to Drop on Wednesday

South African motorists will be relieved this week as the petrol price is expected to decrease, thanks to the stronger rand.

The department of Energy has announced a price decrease in petrol and diesel this week.

“The rand appreciated, on average, against the US dollar (from R13.23 to R12.20 per USD) during the period under review. This led to a lower contribution to the basic fuel price on petrol, diesel and illuminating paraffin by 52.85cpl, 54.66cpl and 54.88cpl respectively,” the department said.

Motorists will pay 30c less for 1 litre petrol and 17c less for diesel. These prices will be effective on Wednesday.

According to the department, South Africa’s fuel prices are adjusted on a monthly basis, informed by international and local factors. International factors include the fact that South Africa imports both crude oil and finished products at a price set at the international level, including shipping costs.

According to Bloomberg, the South African Rand has had its best three-month run in almost a decade, thanks to the optimism following SA Deputy President Cyril Ramaphosa’s election as leader of the ruling African National Congress.

By Wendy Mothata