MOTORISTS will breathe a sigh of relief as petrol and diesel prices will decrease from midnight after the government announced a reduction in fuel prices.
The Ministry of Natural Resources and Energy Principal Secretary Lindiwe Mbingo announced yesterday that the new fuel prices will take effect at midnight on Thursday, giving motorists relief after months of consecutive increases.
Mbingo announced that the price of unleaded petrol will decrease by E1.50 per litre, from E26.17 to E24.67. Diesel will drop by E3 per litre from E29.20 to E26.20, while illuminating paraffin will also decrease by E3, falling from E23.38 to E20.38 per litre.
According to the ministry, the latest adjustment follows a decline in international crude oil prices and a slight strengthening of the Lilangeni against the United States Dollar in June.
“The international crude oil price averaged USD91 per barrel in June compared to USD110 per barrel in May. This decline was mainly due to the recent diplomatic breakthrough in the Middle East, which eased geopolitical tensions,” Mbingo said.
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She added that the Lilangeni also appreciated slightly, averaging E16.37 against the US Dollar in June compared to E16.52 in May, helping to reduce the cost of importing fuel.
The latest adjustment comes after three consecutive fuel price increases since April, during which motorists faced rising transport costs and higher prices for goods and services.
Although the reduction has been welcomed, the country’s fuel price cuts are smaller than those announced in neighbouring South Africa.
South African authorities yesterday reduced petrol prices by about R2.00 per litre, diesel by more than R3.50 per litre and illuminating paraffin by more than R5.00 per litre.
The developments highlight the close relationship between fuel pricing trends in the country and South Africa, as both countries are influenced by international oil prices and currency movements.
The ministry urged motorists and businesses to continue using fuel wisely despite the reduction.
“International oil markets and exchange rates remain volatile and could continue to influence future fuel price adjustments. We encourage all consumers to continue using fuel efficiently,” the ministry said.
The new fuel prices will therefore be as follows:
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The price of Unleaded Petrol (ULP95) will decrease from E26.17/litre to E24.67/litre.
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The price of Diesel (0.005% S) will decrease from E29.20/litre to E26.20/litre.
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The price of Illuminating Paraffin will decrease from E23.38/litre to E20.38/litre.
