In August, fuel prices will spike yet again. However, experts say that fuel prices could continue to increase well into 2019. Absa has recently released a report detailing why South Africa’s petrol prices will continue to spike.
In the report, The South African Petroleum Industry Association (SAPIA) says that the government regulates petrol prices and that the Central Energy Fund (CEF) recalculates these prices on the first Wednesday of every month.
It has also been revealed that fuel levies make up 6% of South Africa’s gross tax revenues, which is why a litre of 95 petrol, which now costs R16.03, would only cost R10.69 without taxes.
By: Mikayla Tetreault, Staff Writer