Petrol price indicators from the Central Energy Fund (CEF) suggest another blow for unleaded motorists when they head to the pumps on Wednesday, 7 December 2022.
UPDATE: This article has been updated with the official petrol price adjustments for December 2022, published by the Department of Mineral Resources and Energy on Tuesday.
Inland
TYPE | PRICE (p/l) | CHANGE |
Petrol 95 | R23.46 | + R0.59 |
Petrol 93 | R24.05 | + R0.59 |
Diesel 0.05% | R20.96 | – R1.57 |
Diesel 0.005% | R21.39 | – R1.52 |
Coastal
TYPE | PRICE (p/l) | CHANGE |
Petrol 95 | R22.81 | + R0.59 |
Petrol 93 | R22.51 | + R0.59 |
Diesel 0.05% | R20.31 | – R1.57 |
Diesel 0.005% | R20.75 | – R1.52 |
See original article below.
Petrol price: Here’s how much a litre may cost from Wednesday, 2 November 2022
International currency fluctuations and ongoing political tensions in eastern Europe continue to have a chokehold on oil prices, thus impacting South Africa’s expected basic fuel price for December 2022, which, according to reports by Business Live, may hold a mixture of good and bad news for motorists.
While CEF indicators are still very early, it seems more than likely that the final retail price of unleaded petrol may hike significantly, while diesel customers should see a steep drop in prices.
According to CEF data, unleaded petrol could increase by as much as 41c, bringing the final retail price above R23 in the interior. Diesel, on the other hand, could drop by as much as R1.48 if currency and crude oil price trends maintain steady movements over the next few days.
The energy ministry is expected to announce the final determination of petrol price changes for next month on Monday, 5 December 2022.
Here is a look at the estimated petrol price increases expected on Wednesday, 7 December 2022, using CEF data captured on Tuesday, 29 November 2022.
PLEASE NOTE: The petrol price estimations listed above are speculative and likely to be affected by daily oil prices and currency fluctuations. To determine the price per litre estimation, we used the BFP estimation from the CEF’s latest daily analysis, along with Shell’s most recent petrol price update, which lists a detailed breakdown of the levies, taxes and other costs included in the final retail price of fuel in South Africa.
Inland
TYPE | PRICE (p/l) | CHANGE |
Petrol 95 | R23.28 | + R0.41 |
Petrol 93 | R23.87 | + R0.41 |
Diesel 0.05% | R24.01 | – R1.48 |
Diesel 0.005% | R24.33 | – R1.42 |
Coastal
TYPE | PRICE (p/l) | CHANGE |
Petrol 95 | R22.63 | + R0.41 |
Petrol 93 | R22.33 | + R0.41 |
Diesel 0.05% | R23.36 | – R1.48 |
Diesel 0.005% | R23.69 | – R1.42 |
What goes into the final retail price of fuel in South Africa?
Determining the final retail price of petrol in South Africa relies heavily on the rand’s performance in currency markets and oil price movements. Using this information, the CEF can formulate basic fuel price (BFP) estimates which, in essence, offer South African importers a snapshot into the cost of buying petrol from an international refinery, transporting the product and ensuring it against possible losses at sea and on land.
However, before the retail price of petrol is finalised at petrol stations, several additional costs are included in the BFP:
Government levies
- IP tracer levy (reimbursement to the oil industry for buying IP tracer dye and injecting it into IP to curtail the mixing of IP and diesel)
- General Fuel levy (tax levied by the government)
- Slate levy (to finance the cumulative under-recovery of the industry)
- RAF levy (to compensate for people involved in road crashes and accidents)
- Petroleum products levy (reimbursement to the pipeline users for the applicable NERSA tariff on transporting fuel through the pipeline)
Additional costs
- Wholesale margin (markup to the price of a product to account for wholesaling costs)
- Service cost recoveries
- Storage, handling and delivery costs
- Distribution costs
- Dealers margin (commission to the fuel pump dealers for retail operation)
- Zone differential (applicable to inland regions)
- Customs and excise duty
Petrol price adjustments are generally made on the first Wednesday of every month by the Department of Energy.