http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 13.70Change: -0.03
R/$ = 10.96Change: 0.00
Au 1189.22 $/ozChange: -9.23
Pt 1220.00 $/ozChange: -9.50
 
 
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?








Start
 
End
 
 
And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
 
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Apr 03, 2012

DoE initiates fuel price review, urges motorists to be efficient

Back
Pretoria|Africa|CoAL|Diesel|Hydrocarbons|Africa|Islamic Republic Of Iran|Singapore|South Africa|Brent Crude Oil|Energy|Oil|Product|Dipuo Peters|Muzi Mkhize|Mediterranean|CTL Technology|Diesel
|Africa|CoAL|Diesel|Hydrocarbons|Africa||Energy||||
pretoria|africa-company|coal|diesel-company|hydrocarbons|africa|islamic-republic-of-iran|singapore|south-africa|brent-crude-oil|energy|oil|product|dipuo-peters|muzi-mkhize|mediterranean|ctl-technology|diesel
© Reuse this



Department of Energy (DoE) chief director for hydrocarbons Muzi Mkhize said on Tuesday that the department was reviewing how South Africa calculated its basic fuel price.

The review has started and would be completed before the end of the current financial year, Mkhize said at a media briefing in Pretoria, hours before a big fuel increase comes into effect.

Calculations to determine the basic fuel price currently take into consideration benchmark prices from fuel refineries in Singapore and the Mediterranean regions deemed “most efficient”, in an effort to prevent consumers paying for higher prices that inefficient refineries may impose on them.

Mkhize added that South Africa’s coal-to-liquid (CTL) technology did not necessarily guarantee that the country had a buffer to external forces that determine the price of brent crude oil.

“The CTL technology at times have a positive impact on South Africa’s fuel price, while at other times it has the opposite effect,” he said.

Meanwhile, Energy Minister Dipuo Peters called upon South Africans to use fuel sparingly, saying that the DoE was aware of the public concern over the fuel price increase that takes effect on Wednesday.

“Indeed, the fuel price increase will impact negatively on all South Africans who have no choice but to engage in their normal economic and household activities, which require the use of fuel,” she said.

Further, with regard to potential Western sanctions against oil imports from South Africa’s most significant supplier, Iran, Peters said government had put together a task team to investigate the impact this could have on the country’s basic fuel price, as well as all alternative available options.

She conceded that it would be least desirable to import oil from other sources, owing to the exhaustion of all other available options, resulting in significantly increasing the already high fuel price.

“The DoE task team is engaging with all role players to determine the exact nature of sanctions against Iran and the impact it will have on South Africa’s basic fuel price. Rising geopolitical tensions in other oil-producing regions will also be investigated.

“The task team would report to Cabinet during May on the outcomes of the investigation, whereafter the appropriate course of action will be decided on,” Peters said.

Some of South Africa’s refineries, designed to use brent crude imported from Iran, would have to be upgraded at significant cost to be able to process oil from alternative sources.

From midnight, motorists would have to fork out 71c/l more for 95-octane petrol in the inland region and 66c/l more at the coast.

The inland price of 93-octane petrol would increase by 73c/l.

The price of 0.005% sulphur diesel will increase by 47.6c/l at the coast, while the price for the same product inland would increase by 51.9c/l.

Edited by: Mariaan Webb
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
 
Latest News
A Spoor & Fisher partner on Wednesday called on the Department of Trade and Industry (DTI) to finalise its proposed policy for Intellectual Property (IP). The policy, which had not been drafted in consultation with IP law experts, was published in September 2013,...
Auditor-General Kimi Makwetu
Auditor-General Kimi Makwetu has called on all government leaders to play a crucial role in ensuring that government departments and entities improve their audit outcomes. He has raised concerns over irregular expenditure, non-compliance with legislation, auditees...
The Somalia Stock Exchange expects seven companies in the telecoms, financial services and transport sectors to list their shares when the bourse is set up in 2015, its founder said. Somalia's economy is slowly recovering from more than two decades of conflict,...
More
 
 
Recent Research Reports
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
Real Economy Insight: Automotive 2014 (PDF Report)
This four-page brief covers key developments in the automotive industry over the past 12 months, including an overview of South Africa’s automotive market, trade figures, production and the policies influencing the sector.
Real Economy Insight: Construction 2014 (PDF Report)
This five-page brief covers key developments in the construction industry over the past 12 months. It provides an overview of the sector and includes details of employment in the sector, infrastructure and municipal spending, as well as insight into companies’...
Real Economy Insight: Electricity 2014 (PDF Report)
This five-page brief covers key developments in the electricity industry over the past 12 months, including details of State-owned power utility Eskom’s generation activities, funding and tariffs, independent power producers and prospects for the sector.
 
 
 
 
 
This Week's Magazine
JSE-listed real estate investment trust (REIT) Rebosis Property Fund achieved a distribution growth of 8.1% to 99.45c per linked unit in the financial year ended August 31, despite volatile market conditions.
JAMES ROBERTS The MOM incubator was designed to help babies in developing nations who were dying in conflict-struck nations or who do not receive hospital care
A low-cost, inflatable incubator won this year’s international James Dyson design award, which aims to encourage and inspire the next generation of design engineers.
The World Bank released its ‘Doing Business 2015: Going Beyond Efficiency’ report last month and ranked South Africa 43 out of 189 global economies for its ease of doing business, with Singapore topping the rankings.
Air Products South Africa officially launched its R300-million Eastern Cape air- separation unit (ASU), at its new manufacturing facility in the Coega Industrial Development Zone (IDZ), earlier this month. It is the second facility that Air Products launched in South...
BMW South Africa (SA) has signed a power purchasing agreement with energy company Bio2Watt. The offtake partnership will bring renewable energy to the carmaker’s Rosslyn plant, north of Pretoria.
 
 
 
 
 
 
 
 
 
Alert Close
Embed Code Close
content
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
 
 
Close
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks