Government is considering fixing a maximum price for unleaded fuel.
This is according to energy minister Jeff Radebe, who was speaking at a post-Cabinet briefing on Thursday (11 October), reports Fin24.
“Government is deeply concerned by the rising cost of petrol in South Africa which is largely caused by the rand-dollar exchange rate, and the price of crude oil,” said Radebe
He added that a task team, including officials from the Department of Energy and the National Treasury, is examining what to do to cushion the blow of another increase, as the international price of crude oil has kept increasing.
The task team is expected to reach a decision by 18 October.
Radebe placed a hold on petrol price increases for the month of September, with only a five cents increase added as part of an ongoing wage agreement.
However, this was followed by a record increase in October as the price of 93 octane fuel increased by 99 cents per litre, while 95 octane was increased by another R1 at the pumps.
Analysts have warned that these increases are likely to continue until the end of 2018, on the back of rising oil prices and a deteriorating rand.
These are the official prices for October (inland):
|Fuel||September official||October official|
|0.05% Diesel (wholesale)||R14.41||R15.65|