Price of petrol to fall by 55c a litre

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Published Jun 1, 2012

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The price of petrol will next week Wednesday fall by 55 cents a litre, the department of energy announced on Friday.

The price of all grades of diesel will decrease by 24.82 cents a litre.

The wholesale price of illuminating paraffin will decline by 21 cents a litre and the single maximum national retail price of paraffin will fall by 28 cents a litre.

The maximum retail price of LPgas will decrease by 99 cents per kilogram.

The price of 95 petrol will cost R11.67 a litre in Gauteng and R11.32 a litre at the coast from next week Wednesday.

At the same time, diesel (0.05% sulphur) will cost R10.73 a litre in Gauteng and R10.48 a litre at the coast.

The government attributed the decrease in the price of petrol, diesel and paraffin to the fall in the average international product prices of petrol, diesel and illuminating paraffin.

“During the current fuel price review period, the average international crude oil prices decreased by US$12, compared to previous fuel price review period, from US$120 per barrel to US$108 per barrel,” the department said.

The government attributed the fall in the international oil price to three factors.

Firstly, Iran’s decision to allow United Nations inspections of the country’s nuclear programme.

Secondly, the concerns about the euro debt crisis and thirdly, the lower demand for commodities by China as its economy slowed.

On the other hand, the rand exchange rate when compared to the US dollar weakened when compared to the previous period. - Staff reporter

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