Fuel price relief has finally arrived after months of painful increases, but unions say many South Africans will continue to struggle unless lower fuel costs lead to cheaper food and transport.
The latest fuel price adjustment, which came into effect on 1 July, is expected to ease pressure on motorists after months of soaring fuel prices. However, workers’ organisations say the real measure of relief will be whether retailers and taxi operators pass those savings on to consumers, arguing that struggling households can no longer shoulder the “double burden” of rising transport and food costs.
The Department of Mineral and Petroleum Resources announced that the price of 93 unleaded petrol had decreased by R2.01 a litre, while 95 unleaded petrol dropped by R1.96. Diesel prices fell by as much as R3.59 a litre, while illuminating paraffin declined by R5.23 a litre.
According to the department, the reductions were driven by lower international crude oil prices and a stronger rand.
“The average Brent Crude oil price decreased from 104.59 US dollars to 86.53 US dollars during the period under review. This is due to the signing of the Memorandum of Understanding (MOU) between the US and Iran, which has improved the global supply outlook,” the department said.
