What to expect in April on Fuel prices

Estimated read time 2 min read

South African motorists can expect a lighter blow in April when it comes to petrol prices, with the latest data showing a much smaller hike on the cards than at the start of the month.

Diesel users, meanwhile, can breathe a sigh of relief with current trends pointing to a price cut at the pumps.

Mid-month data from the Central Energy Fund shows that petrol prices are currently showing a small under-recovery of around 12 cents per litre for April. This is down significantly from the over R1.00 per litre under-recovery present at the start of the month, showing a massive swing in a positive direction.

Diesel drivers have seen the swing follow through, with the data now showing an over-recovery of around 30 cents per litre.

These are the expected changes:

• Petrol 93: increase of 11 cents per litre

• Petrol 95: increase of 13 cents per litre

• Diesel 0.05% (wholesale): decrease of 28 cents per litre

• Diesel 0.005% (wholesale): decrease of 32 cents per litre

• Illuminating paraffin: decrease of 45 cents per litre

Daily snapshot data for LP Gas is not presented by the CEF.

The Department of Mineral Resources and Energy (DMRE) has noted that its daily snapshots are not predictive and do not encompass other possible modifications, such as slate levy adjustments or retail margin changes. The department determines these adjustments, considering various factors, at the end of the month.

Domestic fuel costs are primarily governed by the rand/dollar exchange rate and international oil prices. In South Africa, the fuel price is adjusted on the first Wednesday of every month based on these two factors.

For April 2024, higher oil prices have been volatile and present a mixed result for fuel prices – still contributing to an under-recovery for petrol but an over-recovery in diesel. The stronger rand, relative to February, is supporting prices.

It should also be noted that April marks the start of the new financial year for the government, where various tax hikes kick in. While there is no hike for the general fuel levy and Road Accident Fund levy in 2024, various other minor taxes may impact the final fuel price for April.

Source staff writer

By Sam Mchunu

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