The Department of Mineral Resources and Energy has announced that almost all grades of fuel will decrease in October 2024. This will come as a welcomed relief to consumers who've enjoyed several months of fuel price reductions.
The price of a litre of petrol will decrease by more than R1 while the price of a litre of diesel will by more than R1 depending on the grade. While the cost of Illuminating Paraffin will decrease, the retail price of maximum LP Gas will increase
Fuel Price Adjustments For October 2024
- Petrol 93 (ULP & LRP): R1,06 decrease.
- Petrol 95 (ULP & LRP): R1,14 decrease.
- Diesel (0.05% sulphur): R1,14 decrease.
- Diesel (0.005% sulphur): R1,12 decrease.
- Illuminating Paraffin (wholesale): R1,11 decrease.
- Single Maximum National Retail Price for illuminating paraffin: R1,48 decrease.
- Maximum LP Gas Retail Price: 23c increase
As of Wednesday, the price of 95-octane petrol in Gauteng will drop from R22.19 per litre to R21.05. On the coast, where a litre of 95 petrol previously cost R21.40 in September, the price will now decrease to R20.26 in October.
Reasons for the Fuel Price Decrease
The average Brent Crude oil price fell from 78.54 USD to 72.82 USD per barrel during the review period. This decline was mainly due to increased production by major oil-producing countries, despite concerns over lower demand.
The department explained,
The average international petroleum product prices decreased on average, in line with the lower oil prices, during the period under review. This led to lower contributions to the Basic Fuel Prices of petrol by 91.74 c/l and 85.04 c/l, diesel by 91.37 c/l and 88.72 c/l and illuminating paraffin by 87.64 c/l, respectively.
Additionally, the stronger Rand contributed to the price reduction.
"The Rand appreciated on average, against the US Dollar (from 18.05 to 17.68 Rand per USD) during the period under review. This led to lower contributions to the Basic Fuel Prices of all products by over 21.00 cents per litre."
These price adjustments will take effect from Wednesday, offering some financial relief to South Africans at the pump.
