Massive Drop in Fuel Prices for September, 2024


02 September 2024   •   ~2 min read

The Department of Mineral Resources and Energy has announced a reduction in fuel prices effective from September 4, 2024. This adjustment is influenced by both local and international factors, including shifts in crude oil prices and changes in the Rand/US Dollar exchange rate.


The average price of Brent Crude oil decreased from $83.55 to $78.54 per barrel over the past review period. This drop is attributed to increased oil production from major suppliers and anticipated interest rate cuts by the US Federal Reserve. Additionally, international petroleum product prices fell in line with lower crude oil costs, contributing to reduced fuel prices in South Africa.


The Rand strengthened against the US Dollar, rising from 18.23 to 18.05 Rand per USD. This appreciation has led to further decreases in the Basic Fuel Prices of all fuel products.


The Slate Levy, which tracks the cumulative balance of petrol and diesel costs, stood at a positive R2.13 billion as of July 2024. Consequently, there will be no Slate Levy applied to petrol and diesel prices from September 4, 2024.


Furthermore, an adjustment for annual wages for forecourt staff, as per the Motor Industry Bargaining Council (MIBCO) Agreement, will add 5.3 cents per litre to petrol prices.


The new fuel prices will be:

- Petrol 93 (ULP & LRP): Decrease of 92.00 cents per litre.

- Petrol 95 (ULP & LRP): Decrease of 92.00 cents per litre.

- Diesel (0.05% sulphur): Decrease of 79.00 cents per litre.

- Diesel (0.005% sulphur): Decrease of 105.00 cents per litre.

- Illuminating Paraffin (wholesale): Decrease of 103.00 cents per litre.

- SMNRP for IP: Decrease of 138.00 cents per litre.

- Maximum LPGas Retail Price: Decrease of 10.00 cents per kilogram.


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