If there’s one constant thing in life that South African motorists can rely on, it’s that fuel prices will always fluctuate. Whether it’s a sudden hike or a slight decrease, petrol and diesel prices seem to change almost every month. Often this leaves motorists questioning their sanity, their ability to survive the next month, and wondering if there’s way to prepare for these fluctuations.
Contents
The good news is that you can prepare yourself and your wallet for these changes. In this guide we’ll break down why fuel prices fluctuate in South Africa and what you can do to minimise the impact on your budget.
Why Do Fuel Prices Change?
Fuel prices in South Africa are influenced by several key factors, all of which are beyond the control of the average driver. This is a truth you probably already know, but will be glad to have confirmed, we’re sure.
1. Global Oil Prices
South Africa imports crude oil, meaning that international oil prices directly impact the cost of fuel locally. When global demand increases or supply is disrupted (due to geopolitical conflicts, natural disasters, or oil production cuts), fuel prices rise.
2. Rand-Dollar Exchange Rate
Crude oil is traded in US dollars, fluctuations in the exchange rate impact how much we pay for fuel per litre. If the rand weakens against the dollar, fuel prices rise. If the rand strengthens, we might see a price decrease.
3. Government Taxes & Levies
A portion of fuel costs goes to government-imposed taxes, including the General Fuel Levy and the Road Accident Fund Levy. These are often adjusted annually, impacting fuel prices even when oil prices remain stable.
4. Transport & Distribution Costs
Fuel in South Africa is transported from refineries to inland areas. As transport costs (such as trucking or pipeline fees) increase, so does the cost of fuel. This is especially for remote locations.
How To Plan For Fuel Price Fluctuations
While you can’t control global oil prices or currency fluctuations, there are several strategies to help you manage fuel costs effectively.
Firstly, it’s necessary for you to stay informed about upcoming fuel price adjustments. Thankfully, the AA provides monthly fuel price forecasts, giving drivers time to budget for increases or fill up before a hike.
Secondly, we’d encourage you to make use of fuel rewards and loyalty programs. There are a number of fuel stations in South Africa who either have their own or have partnered with other business to offer programs that provide cashback or discounts on your fuel purchases, for example, through FNB and Engen you can earn eBucks, while Shell Garage has its Shell V+ Rewards programme.
You could also use our calculators, like our Fuel Trip Calculator, to plan your trips. You’ll quickly pick up that frequent short-distance trips use more fuel than longer, well-planned routes, which will help you make little changes – like combining your errands into one trip. You can also use navigation apps to find the shortest and most fuel-efficient routes.
Lastly, we urge you to maintain your vehicle regularly, because a well-maintained vehicle uses less fuel.
With that in mind, regularly check:
✔️ Tyre pressure – Underinflated tyres create resistance and increase fuel consumption.
✔️ Engine performance – A poorly tuned engine can burn more fuel than necessary.
✔️ Oil and filters – Clean oil and air filters improve efficiency.
Feeling informed?
Fuel price fluctuations are a reality for South African motorists, but by staying informed, budgeting wisely, and driving efficiently, you can minimise the financial impact.
For more expert motoring tips and fuel-saving strategies, stay tuned to AA Inform, your trusted source for driving insights.
0 Comments