Following an under-recovery of around 30 cents per litre, South Africans can expect another consecutive petrol price increase in May.
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Contrastingly, diesel prices show an over-recovery of 28 cents per litre, indicating a slight decrease.
This is according to the latest mid-month data from the Central Energy Fund (CEF), as reported by BusinessTech.
These are the expected price changes for May:
- Petrol 93: increase of 30 cents per litre
- Petrol 95: increase of 31 cents per litre
- Diesel 0.05% (wholesale): decrease of 26 cents per litre
- Diesel 0.005% (wholesale): decrease of 31 cents per litre
- Illuminating paraffin: decrease of 19 cents per litre
The Department of Mineral Resources and Energy (DMRE) notes that its daily snapshots are not predictive and do not include other potential modifications, such as slate levy adjustments or retail margin changes. These adjustments are determined at the end of the month based on various factors.
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Oil prices are once again behind the under-recovery in petrol prices, supported by the stronger rand.
The price of oil has grown by 17% since the start of the year, largely driven by the conflict in the Middle East. The extension of additional voluntary cuts of 2.2 barrels per day by several OPEC+ countries has also contributed to draining inventories and increasing prices.
The rand has fluctuated from R19.15 to R18.46 in recent weeks, losing some ground against the dollar in the week and coming in at R18.83 on Monday morning.
These are the expected prices for May, based on the mid-month prices:
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Also read:
Finance minister freezes fuel levies for 2024/25 due to high cost of living
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