Official petrol price increases for January

It’s going to be an unhappy new year for South African motorists as fuel prices are set to rise across the board this coming Wednesday, 1 January 2025.

Data released by the Central Energy Fund on behalf of the Department of Mineral Resources and Energy shows that petrol prices are rising by up to 19c per litre this week, while diesel is going up by a maximum of 10.50c per litre.

These changes are largely a result of fluctuations in international product prices in the final weeks of 2024 coupled with a slight deterioration in the rand/US dollar exchange rate.

Unhappy new year

During the month of December, the average international product prices for petrol increased, whilst those for diesel fell.

The movements resulted in an under-recovery in local petrol costs to the tune of 2.3c per litre as well as an under-recovery in diesel 0.005% of 0.13c per litre. Meanwhile, diesel 0.05% experienced an over-recovery of 2.93c per litre.

Simultaneously, the rand depreciated against the US dollar during the period under review.

The average rand/US dollar exchange rate from 29 November 2024 to 26 December 2024 was R18.1120/dollar, compared to R17.9256/dollar the month prior.

This led to a higher contribution to the Basic Fuel Prices of petrol and diesel by 10.58c/litre and 11.11c/litre, respectively.

In line with the provisions of the Self-Adjusting Slate Levy Mechanism, the Slate Levy on petrol and diesel will remain at 0.00c/l with effect from 01 January 2025.

Accounting for these inputs, the following fuel price adjustments will take effect in South Africa this coming January:

• Petrol 93 – Increase of 19c a litre
• Petrol 95 – Increase of 12c a litre
• Diesel 0.05% – Increase of 7.50c a litre
• Diesel 0.005% – Increase of 10.50c a litre

The table below indicates how the official fuel price adjustments for December will reflect at the pump: