15/03/2019
Brace yourselves – fuel prices are set to spike (again!) come early April.
By around 98 cents a litre for petrol, 70 cents for diesel, 63 cents for illuminating paraffin.
And as always it’s the poor who’ll suffer the most with the knock-on effect of these hikes, fresh off substantial price increases earlier this month.
“It’s scary,” says Meyer Benjamin, Director of this dealership.
“Especially now that taxes make up close to 40 percent of the fuel price.”
Indeed.
Scarier still is that next month the new fuel levies tabled in the budget earlier this year kick in.
“With the addition of the increases to the levies, our outlook for April sees petrol increasing by R1.18 a litre, and diesel by 90 cents a litre. There are no levies added to illuminating paraffin,” explains the Automobile Association.
The exact price increases are still to be confirmed, coming as they do from unaudited mid-month fuel price data released by the Central Energy Fund (CEF).
But these figures are generally an accurate indicator, and besides those extra levies kicking in, much of these increases are down to a slightly weaker rand and – to a larger degree – higher international oil prices.
“More than ever,” adds Meyer, “economy is now a crucial factor when consumers come to buying a car.”
That’s where our Suzukis come in – with most of them sipping five or less litres of petrol per 100km in the combined cycle, with no trade off in sassiness, style, safety.
The AA, meanwhile, says this will push the proportion of taxes and levies on the fuel price to around 38% of the cost per litre in the case of 93 unleaded petrol.
“When fuel taxes were proposed as a roads funding mechanism, the government resisted, claiming they were anti-poor,” says the AA.
“But the fuel levy has nonetheless risen by nearly 22% over the past three years. Given what is emerging at the Zondo Commission of Enquiry, motorists are justified in asking what this money is being spent on.”
What indeed.
- James Siddall