The Minister of Mineral Resources and Energy, Mr Gwede Mantashe, announces the
adjustment of fuel prices based on current local and international factors with effect
from the 4
th of January 2023.
South Africa’s fuel prices are adjusted on a monthly basis, informed by international
and local factors. International factors include the fact that South Africa imports both
crude oil and finished products at a price set at the international level, including
importation costs, e.g. shipping costs.
The main reasons for the fuel price adjustments are:
- Crude oil prices
The average Brent Crude oil price decreased from 88.77 US Dollars (USD) per
barrel to 85.08 USD per barrel during the period under review. The oil prices
continued to drop due to fears of economic recession globally. - International petroleum product prices
The movement in international refined petroleum product prices, diesel, petrol and
illuminating paraffin in particular followed the decreasing trend in crude oil prices,
while the prices of LPGas increased due to higher propane and butane prices
during the period under review.
Media Statement – Fuel prices Adjustments for January 2023 Page 2
These factors led to lower contributions to the Basic Fuel Prices of petrol, diesel
and illuminating paraffin by 169.69 c/l, 240.20 c/l and 174.73 c/l, respectively. The
LPGas prices are increasing due to the increase in the prices of Propane and
Butane. - Rand/US Dollar exchange rate
The Rand appreciated slightly, on average, against the US Dollar (USD) (from
17.53 to 17.28 Rand per USD) during the period under review when compared to
the previous one. The stronger Rand led to lower contributions to the Basic Fuel
Prices of petrol, diesel and illuminating paraffin by 15.27 c/l, 18.81 c/l and 19.20
c/l respectively. - Implementation of the Slate Levy
The negative slate balance on petrol and diesel amounted to R7.046 billion at the
end of November 2022. A slate levy decrease of 21.90 c/l (from 83.28 c/l to 61.38
c/l) will be implemented into the price structures of petrol and diesel, in line with the
Self-Adjusting Slate Mechanism rules effective from the 4th of January 2023. - Octane differentials between 95 and 93 petrol grades
In line with the Working Rules to determine the Basic Fuels Prices (BFP), the 95
octane (unleaded) grade is the price-marker grade and the BFP-differential
between 95 and 93 octanes is adjusted on the first Wednesday of each quarter.
The BFP Octane differential has not changed and therefore there were no different
price adjustments between the two grades.
Based on current local and international factors, the fuel prices for January 2023 will
be adjusted as follows:
❖ Petrol (both 93 and 95 ULP & LRP): Two hundred and six cents per litre (206.00
c/l) decrease;
❖ Diesel (0.05% sulphur): Two hundred and sixty eight point one nine cents per
litre (268.90 c/l) decrease;
❖ Diesel (0.005% sulphur): Two hundred and eight point one nine cents per litre
(280.90 c/l) decrease;
Media Statement – Fuel prices Adjustments for January 2023 Page 3
❖ Illuminating Paraffin (wholesale): One hundred and ninety-three cents per litre
(193.00 c/l) decrease;
❖ SMNRP for IP: Two hundred and fifty-eight cents per litre (258.00 c/l) decrease;
❖ Maximum LPGas Retail Price: Eighty-two cents per kilogram (82.00 c/kg)
increase; and
The fuel prices schedule for the different zones will be published on Tuesday, the
3
rd of January 2023.
