Several business owners have expressed concern over the predicted fuel price hikes for June 2022, with petrol likely to increase by up to R1.97 a litre and diesel by R1.62. Experts say the return of the general fuel levy at the end of May could result in an even further increase in fuel prices to a total of over R3 a litre.
Owner of an Engen fuel station in Johannesburg Vukile Nkosi highlights the impact that fuel price hikes have on customers and businesses.
Nkosi says, “R1.97 is the general hike and remember that the government said that they are going to put an end to the general levy of R1.50 at the end of May. So if you add the R1.97plus R1.50 it comes to R3.47. That is a hefty, hefty kind of increase.”
“So, going to the impact I am going to sell less litres so my profitability goes down. Where does the customer get impacted? The taxis are not going to swallow these prices. They are going to hike the prices so the consumers are going to be impacted and also all the goods that are going to be delivered,” Nkosi says.
South Africa’s fuel price and possible restrictions: