Energy Department says it miscalculated recent fuel price hike

Johannesburg – It still bites, but not as much as they previously said, after the energy department said it miscalculated the latest petrol price increase by six cents.

This revelation comes just after the energy department announced the adjustment of fuel prices based on current local and international factors with effect from today.

While correcting the error at the eleventh hour, the department said it made a huge error as it previously indicated that the petrol has increased by 81 cents per litre,

According to the department’s media liaison Thandiwe Maimane, the department overstated the prices by 6-cents.

“We overstated petrol price by 6c more. The price hike has just been adjusted to 75 cents and not 81 cents as initially announced,” said Maimane.

Meanwhile, the department said the decision to increase fuel was due to the contribution of the rand/US Dollar exchange rate, increase in prices crude oil, industry margins annual adjustments and implementation of the slave levy.

The department said in a statement that it instructed stakeholders to effect the changes with immediate effect.

Yesterday, petrol stations were packed with motorists trying to get in their last fill ahead of the hike. The new price kicked in on Wednesday morning.

“The 6 cents difference is due to the fact that the adjustment of wages for service station workers had already been implemented in September 2021,” the department said in a statement on Wednesday morning.

“Although it is for the very first time that such an error has occurred in the history of basic fuel price determination in South Africa, the DMRE profusely apologises for the inconvenience caused. The rest of the fuel prices are correct.”

Diesel went up 72.5c a litre (0.05% sulphur) and 74.5c (0.005% sulphur).

Illuminating paraffin went up by 42.2c/l, while the maximum LPGas retail price increased by 183.00c/kg from Wednesday.

At the start of November, petrol prices were hiked by R1.21, while diesel increased by R1.48.

The price of petrol will still remain above the R20 per litre threshold in Gauteng and other inland provinces, despite the miscalculation.

Follow @SundayWorldZA on Twitter and @sundayworldza on Instagram, or like our Facebook Page, Sunday World, by clicking here for the latest breaking news in South Africa. To Subscribe to Sunday World, click here.


Latest News

Trending Articles

Sponsored Content