It’s been confirmed that the petrol price will indeed increase at midnight – a fact which doesn’t bode well for motorists and general consumers already feeling the economic pinch.
South Africans will have to fork out more for fuel on 5 June, after early indicators pointed towards a marginal decrease at best, and no hike at worst. Unfortunately, due to compounding factors, including the impending Carbon Tax and a steep downturn in economic growth impacting the exchange rate, the price of petrol, diesel and paraffin will rise once more.
June petrol price increase – here’s what you’ll be paying at the pump
The Department of Energy announced on Tuesday that South
Africa would suffer its fifth consecutive fuel hike. According to data released
by the Central Energy Fund (CEF), this is what these hikes will look like after
- Petrol: Increase of 9 cents per litre
- Diesel: Increase of 13 cents per litre
- Paraffin: Increase of 8 cents per litre
If you don’t manage to get to the pumps before midnight on Tuesday, here’s what you’ll be paying for petrol in June:
|Fuel||Inland price (5 June 2019)||Coastal price (5 June 2019)||Increase|
|Petrol||R 16.48||R 16.03||9 cents|
|Diesel||R 14.88||R 14.40||13 cents|
While the recent barrages of petrol price increases are not as dire as those experienced earlier this year and towards the end of 2018, the meagre hikes come at a terrible time for South Africans.
Earlier on Tuesday, Stats SA announced that the country’s GDP had shrunk by 3.2% in the first quarter of 2019 – a dismal decline last experienced more than a decade ago. This, in turn, has weakened the rand’s defence, which will undoubtedly result in further economic instability – particularly pertaining to the cost of crude oil.
Increases in the price of diesel are especially daunting for
the economy – particularly in light of the recent GDP report which noted an
epic nosedive in the Agriculture sector.
Carbon Tax sinks the knife in
The Automobile Association of South Africa (AA) correctly
reported that the Carbon Tax, which officially comes into effect on Wednesday,
would add 9 cents to every litre of petrol. Unfortunately, earlier signs of
positivity, which would have effectively negated the tax, fell flat.