Steep petrol price increase on the cards for March: here’s what to expect

Fuel prices are set to rise again in March 2023. File picture: Courtney Africa / Independent Media.

Fuel prices are set to rise again in March 2023. File picture: Courtney Africa / Independent Media.

Published Feb 21, 2023

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Johannesburg - South African fuel prices are moving in the wrong direction once again, and the bad news is that March is looking set to bring a far bigger petrol increase than February’s 28 cent hike.

According to the latest daily snapshot from the Central Energy Fund (CEF), 95 Unleaded petrol is looking set to increase by around R1.22 from next Wednesday, March 1, while 93 Unleaded is likely to go up by about R1.26.

Diesel, on the other hand, faces a far smaller increase in the region of 30 cents a litre, but with the latest daily numbers being in a state of mild over-recovery, that could shift closer to 20 cents by month-end.

The usual disclaimer applies here, of course, in that the influencing factors could still change between now and the end of February, and the Slate Levy could also push the numbers in a different direction, but as it stands now a petrol price increase of over R1 per litre is looking inevitable.

The official fuel prices will be announced early next week.

A R1.20 petrol price increase will push the price of 95 Unleaded up to R22.23 at the coast and R22.88 in the inland regions, where 93 ULP would rise to around R22.63.

The wholesale price of 50ppm diesel, assuming that the 30 cent increase prevails, will rise to R21.07 at the coast and R21.71 inland.

April could also see fuel price increases across the board, should Finance Minister Enoch Godongwana increase fuel taxes during his annual Budget Speech on Wednesday.

Last year the Minister heeded calls to leave the General Fuel Levy and Road Accident Fund levies unchanged, however it remains to be seen whether this will be repeated in 2023.

“We again urge the Minister to follow this same route when he delivers his Budget Speech this year and to consider the implications of increasing these taxes on all South Africans,” the Automobile Association said.

“Consumers can simply not afford any more price shocks and considering the impending 18.65% increase to electricity rates, an increase to the levies will deal a massive blow to personal finances,” the association added.