Fuel prices to increase substantially on Wednesday

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The Department of Mineral Resources and Energy says fuel prices will increase substantially on Wednesday. The department says in a statement that the price of unleaded petrol 93 and 95 will go up by 53 cents a litre. Depending on the grade, diesel prices will jump by between 78.84 and 79.84 cents a litre.

Those using illuminating paraffin will bear the brunt as prices rise by R1.01 a litre. The department notes that the average price of Brent Crude oil rose to 87 US dollars a barrel, up from 76 US dollars a barrel in the previous month.

Economist with Nedbank Isaac Matshego says, “The increases come after the release you saw in January. The higher fuel prices will add pressure to the overall inflation rate looking particularly at transport costs and also food inflation taking account the use of fuel in the Agric sector.”

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