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It’s a mistake – petrol price ‘only’ up by 75c, says government

Denis Droppa Group motoring editor
The department of mineral resources and energy says it made a mistake calculating the petrol price increase.
The department of mineral resources and energy says it made a mistake calculating the petrol price increase.
Image: bizoon/123rf/File photo

A red-faced department of mineral resources and energy (DMRE) says it made a mistake calculating the petrol price increase introduced on December 1, and the increase is in fact 6c a litre lower than first stated.

The price for both grades of petrol for December increases by 75c/l instead of the 81c/l announced on November 29, bringing the cost of 95 unleaded to R20.29 and 93 unleaded to R20.07.

The rest of the fuel prices are correct as originally stated, with the wholesale price of diesel rising 73c/l for high-sulphur fuel and 75c/l for low-sulphur diesel, while illuminating paraffin rises 42.20c/l.

Diesel costs R17.92/l (high-sulphur) and R17.98/l (low-sulphur).

"The department of mineral resources and energy regrets to announce that the adjustment of petrol price announced on November 29 was erroneous," the department said.

"The 6c difference is due to the fact that the adjustment of wages for service station workers had already been implemented in September 2021. Although it is the first time such an error has occurred in the history of basic fuel price determination in SA, the DMRE profusely apologises for the inconvenience caused."

The 6c reduction will come as little relief for motorists who have experienced a series of petrol price hikes this year. The increases year-on-year since December 2020 have seen petrol increasing by more than 40%, diesel by around 44%, and illuminating paraffin by more than 70%.

The Automobile Association  has called for a review of the fuel price structure, saying the price of oil played almost no part in the latest hikes. The AA said there is an urgent need to recalculate the fuel pricing model and reduce the two main taxes paid on every litre of fuel — the General Fuel Levy and Road Accident Fund levy — which together comprise around 30% of the price.


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