Photo by: Creamer Media
The Energy Regulator has approved a 5.98% increase, from R6.8-billion in 2023/24 to R7.2-billion in 2024/25, in Transnet’s allowable revenue from petroleum pipelines system tariffs.
“This translates to a 10.13% tariff increase for the Durban-to-Alrode (Johannesburg) route, which will effectively result in an increase of approximately 6.25 cents per litre (Cpl), from 61.74 Cpl to 67.99 Cpl in the fuel price in the 2024/25 financial year,” the National Energy Regulator of South Africa said in a statement.
“If the Minister of Mineral Resources and Energy decides to use the pipeline tariff as a proxy for the cost of transporting fuel from Durban to Johannesburg, the above-mentioned increase of 10.13% in the petroleum transportation levy for the Durban-to-Alrode route will be effective.
“This is equivalent to an increase of approximately 6.25 Cpl.”
The tariffs are set for a period of one year, from Wednesday April 3, 2024, to Tuesday, April 1, 2025.
Transnet had applied for a 20.87% increase in allowable revenue to R8.2-billion, or a 25.60% increase in the tariff.