Petrol Goes Up But It’s Still Lower Than Last Year
Your Road Trip Just Got More Expensive
Many people are gearing up for road trips and visits to the coast this December holiday season.
However, with petrol prices creeping up this December, they’ll need to budget a little bit more to fill up the tank.
Weaker Rand Means Pricier Petrol
The recent price hikes are largely due to a weaker rand, which dropped 40c against the dollar over the review period, from R17.53 to R17.93.
SA’s fuel prices depend heavily on the rand-dollar exchange rate and international oil prices, as oil is priced in dollars. Despite a slight drop in the average Brent Crude oil price—from $73.28 to $72.70 a barrel—the weaker rand still drove up local prices.
There were also a few other moving parts at play in the price changes. Global factors like OPEC’s production limits and reduced demand from China have also played a role, while higher winter fuel demand in the Northern Hemisphere (where it recently started snowing in Europe) have increased diesel and paraffin prices.
Here’s what to expect at the pumps:
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- Unleaded petrol increased by 17c/litre, bringing Gauteng’s price to R21.47 and the coastal price to R20.68.
- Diesel wholesale prices goes up by 55c to 56c/litre, setting the Gauteng price at R19.21 and the coastal price at R18.42.
- Illuminating paraffin will now cost 49c more per litre, and LP gas will increase by R1.72 per kilogram.
Still…
While petrol and diesel prices have gone up a bit, it’s worth noting that fuel is still cheaper this December than it was this time last year.
‘fuel is still cheaper this December than it was this time last year’
Despite the increases the petrol price (in Gauteng for example) is still lower than the R23.25 seen at the start of the year, and diesel prices remain below their January highs. So, that’s something.
