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Decision on capping price of 93 octane petrol to be made next year

The Energy Department made the proposal earlier this month as a way to cushion the blow of repeated fuel price hikes.

Energy Minister Jeff Radebe. Picture: GCIS

CAPE TOWN - Energy Minister Jeff Radebe says a decision on whether to cap the price of 93 octane petrol won't be made before the end of next January 2019.

The department made the proposal earlier this month as a way to cushion the blow of repeated fuel price hikes, which government says are influenced by international factors and beyond its control.

Answering questions in the National Assembly on Wednesday afternoon, Radebe said the fuel industry had asked for more time to make more detailed submissions on its proposal.

“A socio-economic impact assessment of such a change in regulatory methodology we need to be undertaking to identify, especially to mitigate against any unintended consequences.”

The Automobile Association today predicted that there will be some relief at the pumps next month, but Radebe gave no indication of what could be expected.

He did, however, again rule out scrapping fuel levies in the immediate future, saying this would have a critical effect on the fiscus which government wanted to avoid.

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