The Department of Mineral Resources and Energy (DMRE) has announced substantial price cuts for petrol and diesel, starting on 3 January.
The adjustments include a drop of 76 cents per litre for 95 Unleaded petrol and a 62-cent decrease for 93 Unleaded. Additionally, diesel prices are expected to decline between R1.18 (500ppm) and R1.26 (50ppm).
This means that at the coast, a litre of 95 Unleaded petrol will cost R21.77 while in inland regions, it will be R22.49. The more affordable 93 Unleaded will be priced at R22.17.
For diesel, the wholesale price of 50ppm is listed at R20.02 at the coast and R20.73 in Gauteng.
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These reductions come as a result of a combination of factors, including lower international oil prices and a 26 c/l decrease in the Slate Levy, a mechanism compensating fuel companies for price fluctuations in the preceding month.
While this offers relief for many consumers, the Automobile Association has raised concerns about the persistently high fuel prices, reminding the public that despite the expected decreases, petrol prices are still set to remain higher than they were in January 2023.
The second half of 2023 saw steep increases in fuel prices, and the AA emphasises that these cuts should be viewed in the context of consumers striving to recover from previous hikes.
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