Here is the official petrol price for April

 ·4 Apr 2022

The Department of Mineral Resources and Energy has published the official fuel price adjustments for April 2022.

The fuel price adjustments take into account the emergency interventions announced by National Treasury in cooperation with the energy department whereby the General Fuel Levy will be reduced by R1.50 until 31 May 2022.

On top of the emergency interventions, the local fuel price is also in a much better position thanks to the stronger rand versus the dollar since mid-March, as well as some relative stability in the global oil price – though the latter is still the cause for a massive under-recovery in the basic fuel price.

According to the department, the average international product prices for Petrol, Diesel and Illuminating Paraffin increased during the period under review.

The rand appreciated against the US Dollar during the period under review, on average, when compared to the previous period. The average Rand/US Dollar exchange rate for the period 25 February to 31 March 2022 was 15.0211 compared to 15.2343 during the previous period. This led to a lower contribution to the Basic Fuel Prices on petrol, diesel and illuminating paraffin by 17.92 c/l, 19.68 c/l and 19.14 c/l respectively.

Taking these factors into consideration, the changes for April are as follows:

  • Petrol 95: increase of R0.36 per litre;
  • Petrol 93: increase of R0.28 per litre;
  • Diesel 0.05%: increase of R1.52 per litre;
  • Diesel 0.005%: increase of R1.69 per litre;
  • Illuminating Paraffin: increase R2.66 per litre.

The combined cumulative petrol and diesel Slate balances at the end of February 2022 amounted to a negative balance of R 7.171 billion. In line with the provisions of the Self-Adjusting Slate Levy Mechanism, a Slate Levy of 52.62 c/l (increase of 6.56 c/l) will be implemented into the price structures of petrol and diesel with effect from 6 April 2022.

After the interventions

Finance minister Enoch Godongwana said that a broad number of interventions will also be considered once the two-month interventions lapse at the end of May. This includes a full review of the basic fuel price, which was previously mooted by the minister.

Other interventions include:

  • A reduction in the Basic Fuel Price of 3c/l, in line with the recommendations of the review done by the Department of Mineral Resources and Energy (DMRE).
  • The termination of the Demand Side Management Levy (DSML) of 10c/l on 95 unleaded petrol sold inland.
  • The introduction of a price cap on 93 octane petrol, following from the previous DMRE proposal and consultation. This will allow retailers to sell at a price below the regulated price.
  • The termination of the practice to publish guidance by the DMRE on diesel prices to promote greater competition.
  • The Regulatory Accounting System (including the retail margin, wholesale margin and secondary storage and distribution margins) will be reviewed to assess whether adjustments can be made to lower the margins over the medium term. Interventions will be considered by the DMRE to reduce the price pressure for illuminating paraffin over the medium term.

This is how the price changes are expected to reflect at the pumps:

Inland March official April official
95 Petrol R21.60 R21.96
93 Petrol R21.35 R21.63
0.05% diesel (wholesale) R19.49 R21.01
0.005% diesel (wholesale) R19.55 R21.24
Illuminating Paraffin R13.19 R15.84
Coastal March official April official
95 Petrol R20.88 R21.24
93 Petrol R20.73 R21.01
0.05% diesel (wholesale) R18.87 R20.40
0.005% diesel (wholesale) R18.96 R20.64
Illuminating Paraffin R12.36 R15.03

The official price breakdown can be found here.

These are record fuel prices across the board – and while the government’s intervention has cushioned the blow somewhat, it hasn’t entirely taken the pain away, the Automobile Association (AA) of South Africa said.

The association said it appreciates that there is no quick-fix solution to mitigating rising fuel costs and that the current high prices cannot be sustained by a consumer base already reeling from increased rates to, among others, electricity costs, food prices, and public transport fares.

“The intervention to cut the GFL is significant as it shows the government is taking the issue of rising fuel costs seriously, which is to be welcomed. It also has indicated that it is looking at several proposals to deal with rising fuel costs in the future.

“Whatever plans the government is considering, though, these should be fast-tracked as the trend of increasing fuel prices is likely to continue in the short- to mid-term, especially as the situation in Ukraine remains unresolved which is adding pressure to the international petroleum product price, and, in turn, to local prices.

“Our concern, as always, is the impact of all of this on consumers and for that reason, a sustainable, long-term solution should be found sooner rather than later,” the AA said.

Read: Emergency petrol price intervention announced for South Africa

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