Lower international oil prices will translate to cheaper fuel in July, but the end of tax relief measures will erode next month’s decreases.
From July 1, South African motorists will benefit from significant fuel price cuts for petrol and diesel, thanks to falling international oil prices and improved over-recoveries.
The Department of Mineral and Petroleum Resources has confirmed that petrol prices will be cut by R2.01 per litre for 93 Unleaded and R1.96 for 95 Unleaded, while diesel will decrease by R3.59 per litre for 50ppm and R3.14 for 500ppm. The wholesale price of illuminating paraffin will be reduced by R5.23 per litre.
This means that a litre of 95 Unleaded will now cost R25.23 at the coast and R26.11 in Gauteng, where 93 Unleaded will now retail for R25.94. The wholesale price of 500ppm diesel will decline to R23.91 at the coast and R24.78 inland, with the respective prices for 50ppm falling to R24.41 and R25.16 respectively.
This comes after a truce deal signed by the US and Iran earlier this month caused international oil prices to subside. While the truce appears increasingly fragile, with both sides having exchanged fire over the weekend, any further oil price movements won’t affect July’s fuel prices, although August is another story entirely.
