Here are the answers you need for those searching for the petrol price in Polokwane, South Africa.
The guide will also show you the factors affecting pricing and what goes into petrol pricing.
Polokwane, formerly known as Pietersburg, is a city and capital of the Limpopo province in South Africa.
Polokwane means ‘sanctuary’ and is the largest urban center in SA north of Gauteng.
Petrol Price In Polokwane
Petrol prices are adjusted monthly based on an import parity pricing principle.
The current price of petrol 93 is R22.42, and that of petrol 95 is R22.72.
Fuel prices in Polokwane are expected to increase from November as the rand remains under pressure and global oil prices remain high.
Latest data from the Central Energy Fund (CEF) points to a 48 cent per liter hike for petrol, with the current market conditions continuing the pressure on local pricing.
The hike in price will affect both Petrol 93 and 95.
This is the petrol price in Polokwane in South Africa.
What Factors Affect The Local Price
Two main factors drive local fuel prices:
- The Rand/US dollar exchange rate
- Movements in global oil prices
The international oil price pressure leads to higher landed costs for fuel in the country.
The landed cost in US dollars is converted to rand at the current exchange rate, so any weakness in the rand exchange rate against the US dollar results in a higher domestic petrol price.
Political and economic stability ensures a stable exchange rate, thus, affordable local fuel prices.
After the domestic base price for fuel is determined, various levies, taxes, and margins are added to calculate the pump price that a consumer pays.
These are the factors affecting local petrol prices in Polokwane in South Africa.
What Goes Into Petrol Price In Polokwane
Fuel levies include transport to inland provinces.
This explains the difference in fuel prices between coastal cities like Durban and Polokwane.
The levees are fixed and subject to periodic revision, the most important being the government’s fuel levy of about 20% of the retail price and the road accident levy of about 11%.
Another major levy is the gross margin allowed for filling station operators, amounting to 10% of the retail price of petrol.
The government decided to waive some portion of the fuel levy as a temporary relief measure to soften the blow of high petrol prices.
This is all you need to know about petrol prices in Polokwane, South Africa.