‘Sharp increase in diesel driven by export restrictions from Russia’

The Director of Fuel Pricing at the Department of Mineral and Petroleum Resources, Robert Maake, says the sharp increase in diesel prices is being driven by the ongoing restrictions on exports from Russia.

The world’s second-largest diesel exporter introduced an export ban in July as part of a broader package of measures to support its domestic fuel market as the war with Ukraine continues.

Diesel prices will increase by R3.14 and R2.93 at midnight depending on the grade, while both grades of petrol will rise by R1.34 per litre.

Maake says the export restrictions, along with the closure of the Strait of Hormuz, have created a shortage in the global oil market.

“So, there’s still that problem that the vessels are not moving from the Strait of Hormuz, but there’s also new developments with the Strait in the Red Sea, where some of these Houthis from Yemen, they’re also stopping some of the vessels from moving that side as well.

So, that led to higher oil prices during the period under review,” says Maake.

Bloemfontein residents say the fuel price hike will hit them hard.

They say food prices and other essentials will increase, making the cost of living even higher, while salaries remain the same.

Fuel price increases kick in at midnight: