A massive R2.04 per litre saving on petrol from midnight Tuesday

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The Minerals and Energy Department has announced a steep cut in the fuel price with both grades of petrol going down by R2.04 a litre.

Diesel will decrease by as much as 56 cents a litre. The new prices take effect from midnight Tuesday.

The wholesale price of illuminating paraffin will go down by 82 cents per litre.

In a statement the Department says the downward trend is due to, “The average Brent Crude oil price decreased from 105.00 US Dollars (USD) per barrel to 94.00 USD per barrel during the period under review. The main contributing factors are, a decreasing trend in oil prices experienced during the period of July and early August due to recession fears and economic slowdown has been countered by declining inventories and supply that is still tight and all the lockdowns in China have caused the oil price to fall this year thanks to the well-documented effect of lockdowns on oil demand.”

The statement further says that the average international product prices of petrol, diesel, illuminating paraffin and LPG decreased during the period under review.

It also says that motorists are driving less due to inflationary pressures contributing to lower demand.