Statement by Western Cape Minister of Mobility, Daylin Mitchell
It is with extreme concern that I note that the price of fuel will be increasing again in July to its highest level ever. With effect from 6 July, the price of 93 octane petrol will rise by R2.37 per litre to R26.31, 95 octane by R2.57 per litre to R26.74, low sulphur diesel up by R2.30 per litre to R25.40 (inland price), and 500ppm diesel by R2.31 per litre to R25.53. The price of illuminating paraffin will increase by R2.21 per litre. This will mean fuel prices are nearly R10 per litre more than they were a year ago.
On 31 May, the Minister of Finance and the Minister of Mineral and Energy Resources announced a temporary reduction in fuel levies on petrol and diesel of R1.50 per litre until 5 July. This relief will be halved to 75c per litre from 6 July, and withdrawn from 3 August, meaning prices are likely to increase still further.
While I am aware that rising international oil prices have contributed to the latest price increase, I am acutely aware that ongoing fuel price increases are raising food and transport prices for everybody. This is happening at a time when we are just beginning to recover from the COVID pandemic. The rising price of basic necessities has a disproportionately large impact on the poorest of the poor. I call on my national government colleagues to take every possible step to moderate the steep rise in fuel prices, including considering changes to the structure of the fuel price. It is estimated that a large part of the price can be shaved off the price if the different levies are reviewed.
We cannot allow the unsustainable increase in fuel price to continue. The impact will be most felt by the poorest of the poor. We will see businesses fold, families going hungry and people losing jobs if this continue. National government cannot say it listens to the plight of the poorest of the poor and then allow something like this to continue.
Media enquiries
Jandré Bakker
Head of Communication
Department of Transport and Public Works
Email: Jandre.Bakker@westerncape.gov.za