Fuel prices will increase again in February 2017, according to the latest information from the Department of Energy which was published on Tuesday.<\/p>\n
Independent agricultural economist Fanie Brink said that the price of petrol\u00a093 (ULP & LRP) in Gauteng is expected to increase by 31.3\u00a0 cents per litre and the price of diesel with a 0.005% sulphur content by 24 cents per litre.<\/p>\n
The economist said that the hikes are still largely due to higher crude oil and international petroleum product prices after the members of the Organisation of Petroleum Exporting Countries (OPEC), and the 11 countries that are not members of the organisation, reached an agreement to reduce their production of crude oil by 1.8 million barrels per day in December.<\/p>\n
The agreement came into operation on 1 January 2017 and applies for the next six months.<\/p>\n
The oil producers confirmed on Sunday after a meeting in Vienna, Austria, that they have have already removed 1.5 million barrels a day or more than 80% of their collective target out of the market, Brink noted.<\/p>\n
He said that the further rise in the price of Brent crude oil to $58 per barrel and the resulting higher international prices of petroleum products this month have so far caused increases of almost 42.1 cents per liter in the local petrol price and 34.6 cents per litre in the diesel price.<\/p>\n
However, the strengthening of the rand against the dollar over the past month has helped reduce the local petrol price by 10.8 cents per litre and 10.6 cents per litre in diesel price, the economist said.<\/p>\n
The Department of Energy is expected to announce the fuel price on Friday, 27 January 2017.<\/p>\n
This is how the price could reflect at the pumps (wholesale for Diesel):<\/p>\n
| Fuel<\/th>\n | January official<\/th>\n | February expected<\/th>\n<\/tr>\n |
|---|---|---|
| 95 Petrol<\/td>\n | R13.33<\/td>\n | R13.64<\/td>\n<\/tr>\n |
| 0.05% Diesel (wholesale)<\/td>\n | R11.42<\/td>\n | R11.66<\/td>\n<\/tr>\n<\/tbody>\n<\/table><\/div>\n<\/div>\n \n |