Following the trend for much of June, fuel recoveries have favoured motorists, with both petrol and diesel showing over-recoveries for the month.
This has resulted in significant relief at the pumps, with petrol prices decreasing by 99 cents to R1.05 per litre and diesel prices dropping between 24 and 30 cents per litre.The average Brent Crude oil price fell from 82.98 USD to 82.24 USD per barrel during the period under review. Increased production by the US and other non-OPEC countries amid slow global economic growth are the main contributing factors.
The Rand appreciated slightly, on average, against the US Dollar during the period under review compared to the previous one. This led to lower contributions to the Basic Fuel Prices of all products by about 1.50 cents per litre. The cumulative slate amounted to a negative balance for petrol and diesel of R1.15 billion at the end of May 2024. In line with the provisions of the Self-Adjusting Slate Levy Mechanism, a slate levy of zero cents per litre will apply to the price structures of petrol and diesel, which is a decrease of 4.38 cents per litre on the prices of both diesel and petrol.
In line with the Working Rules to determine the Basic Fuels Prices , the 95 octane grade is the price-marker grade, and the BFP-differential between 95 and 93 octanes is adjusted on the first Wednesday of each quarter.