BONUS - RUSTENBURG - Mid-month data from the Central Energy Fund (CEF) points to another big month for petrol and diesel price relief in December 2023.
The CEF’s data points to a drop in petrol prices of around R1.05 per litre, while diesel is lining up for a cut of up to R2.14 cents per litre. If these over-recoveries carry through to the end of the month, motorists and other fuel users will catch a much-needed break ahead of their travels for the festive season.
These are the expected changes:
Petrol 93: decrease of 105 cents per litre
Petrol 95: decrease of 107 cents per litre
Diesel 0.05% (wholesale): decrease of 209 cents per litre
Diesel 0.005% (wholesale): decrease of 214 cents per litre
Illuminating paraffin: decrease of 175 cents per litre Daily snapshot data for LP Gas is not presented by the CEF.
The Department of Mineral Resources and Energy (DMRE) has noted that its daily snapshots are not predictive and do not encompass other possible modifications, such as slate levy adjustments or retail margin changes. The department determines these adjustments, considering various factors, at the end of the month.
Domestic fuel costs are primarily governed by the rand/dollar exchange rate and international oil prices. In South Africa, the fuel price is adjusted on the first Wednesday of every month based on these two factors. For December, lower oil prices have been working in the favour of lower prices, while a moderately stronger rand has also been adding to the over-recovery.