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Bad news for motorists: fuel prices to be hiked on Wednesday

Petrol rises 53c/l and diesel by up to 80c because of increased crude oil prices and a negative slate levy balance

Motorists will be hit with major fuel price hikes on Wednesday, with petrol going up 53c/and diesel by up to 80c. Illuminating paraffin rises by 101c/l.

The department of mineral resources and energy reported that the rand appreciated from 15.91 to 15.50 against the US dollar during the period under review, leading to a lower contribution to a lower basic fuel price. However, increased crude oil prices and a negative slate levy balance of R3.49bn necessitated the price hikes.

“In line with the provisions of the self-adjusting slate levy mechanism, a slate levy of 30.70c/l (decrease of 13.16c/l) will have to be implemented in the price structures of petrol and diesel with effect from February 2 2022,” said the department.

The 53c price increase applies to both grades of petrol, with 93 unleaded rising to R19.89/l and 95 unleaded increasing to R20.14/l in Gauteng.

In Gauteng the wholesale price of high 500 ppm diesel rises to R18.05, while 50 ppm low-sulphur diesel increases to R18.07. Illuminating paraffin will be R11.98/from Wednesday.

Fuel prices, which are changed on the first Wednesday of every month, peaked in December when petrol hit more than R20 for the first time, and motorists received a short-lived reprieve in January when petrol dropped up to 71c and diesel up to 69.80c/l.

When the new prices take hold at midnight on Tuesday, petrol will be more than 28% higher and diesel around 33% higher compared to February 2021.

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