Petrol Hits R30.25 a Litre as South Africans Face Record Fuel Price Hike

 



South African motorists are facing record prices at the pumps after a sharp fuel increase took effect on Wednesday, pushing the price of 95 unleaded petrol above R30 a litre for the first time.

Inland motorists are now paying R30.25 per litre for 95 petrol, while 93 petrol costs R29.88 per litre. At the coast, 95 petrol is priced at R29.38 per litre and 93 petrol at R29.01. 

The latest adjustment increased 93 petrol by R3.12 per litre and 95 petrol by R3.33 per litre. Diesel prices also rose sharply, with increases ranging from R2.84 to R3.24 per litre depending on the grade. 

The increases reflect pressure from international energy markets. South Africa imports most of its fuel, and domestic prices are adjusted monthly using factors including international petroleum prices and the rand exchange rate. The government said the latest increase reflects the impact of the Iran war on global energy prices. 

Pressure on household budgets

The increase is expected to affect much more than motorists' monthly fuel bills.

Higher diesel costs can feed into transport and distribution expenses, placing additional pressure on the prices of food and other essential goods. Civil society organisations have already raised concerns about the potential effect on households struggling with the cost of living. 

Taxi operators are also feeling the pressure. The National Taxi Alliance has indicated that operators could be forced to increase fares if sufficient relief is not provided, potentially increasing commuting costs for millions of South Africans. 

Calls for government intervention

The record increase has triggered calls for government action from organised labour, political parties and transport organisations.

COSATU has called for R10 billion in proposed fuel-price relief to be made available through the Central Energy Fund's Equalisation Fund, arguing that intervention could help protect consumers from soaring international fuel costs. 

Meanwhile, the South African Reserve Bank has warned that fuel prices could remain elevated even if geopolitical tensions ease, partly because damage and disruption to global refining capacity have pushed up refinery margins. 

For consumers, Wednesday's increase represents another significant challenge to household budgets as South Africans adjust to petrol above the R30 threshold.

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