Brace for another petrol hike

Robert Laing

Robert Laing

Motorists will be paying 9c a litre more inland and 10c more at the coast from midnight tomorrow.

This brings 93 octane for inland motorists to R6,87 a litre and 95 octane for coastal drivers to R6,77 a litre. The retail price of petrol is regulated by government.

New fuel prices take effect on the first Wednesday of each month and are announced on the preceding Friday.

The government regulated wholesale price of diesel is going up 23c a litre. At R6,79 a litre for 0,05percent sulphur and R6,82 for 0,05percent sulphur inland, the wholesale price of diesel has overtaken the retail price of petrol.

The amount truckers pay is higher because service stations are allowed to add their own retail margin to diesel whereas this is set by government for petrol.

Wednesday's petrol price increase reverses the 10c drop in all petrol prices announced by the Department of Minerals and Energy last month.

After dropping 8c in July, 15c in August and 10c in September, motorists will have to hope for a stronger rand against the dollar to mitigate rising global oil prices.

Oil future contracts have risen to above $83 a barrel on fears that tension between the US and Iran may lead to further conflict in the Middle East.