The Central Energy Fund has published the official fuel price adjustments for July, showing a massive increase at the pumps.<\/p>\n
According to the CEF, both petrol and diesel prices will climb significantly from Wednesday (1 July), with illuminating paraffin also showing a major spike in price.<\/p>\n
These are the official changes:<\/p>\n
The average international product prices for petrol, diesel and illuminating paraffin increased during the period under review.<\/p>\n
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 29 May 2020 to 25 June 2020 was R17.127 compared to R18.172 during the previous period.<\/p>\n
This led to a lower contribution to the Basic Fuel Prices on petrol, diesel and illuminating paraffin by 33.41 cents per litre, 33.55 cents per litre and 30.13 cents per litre respectively.<\/p>\n
The price changes are significant, but not entirely unexpected, with groups like the Automobile Association previously noting that prices were expected to increase in-line with growing demand on oil products around the world.<\/p>\n
Brent Crude is currently trading at around $41 per barrel.<\/p>\n
The rand is significantly softer in 2020 due to the global Covid-19 pandemic, and weak fundamentals.<\/p>\n
\u201cWe cannot overstate the effect that the rand\u2019s collapse is currently having on fuel users: if the rand had remained at its pre-Covid-19 levels, fuel users would likely be seeing a reduction in fuel prices in the order of 75 cents a litre next month,\u201d the AA said in a recent statement.<\/p>\n
This is how the increases will reflect at the pumps from Wednesday.<\/p>\n
| Fuel (Inland)<\/th>\n | June Official<\/a><\/th>\n | July Official<\/th>\n<\/tr>\n |
|---|---|---|
| 95 Petrol<\/td>\n | R13.40<\/td>\n | R15.12<\/td>\n<\/tr>\n |
| 93 Petrol<\/td>\n | R13.20<\/td>\n | R14.83<\/td>\n<\/tr>\n |
| 0.05% Diesel (wholesale)<\/td>\n | R11.30<\/td>\n | R13.03<\/td>\n<\/tr>\n |
| 0.005% Diesel (wholesale)<\/td>\n | R11.38<\/td>\n | R13.07<\/td>\n<\/tr>\n |
| Illuminating Paraffin<\/td>\n | R4.89<\/td>\n | R7.03<\/td>\n<\/tr>\n<\/tbody>\n<\/table><\/div>\n<\/div>\n \n |