Your Fuel Camel and Rewards opportunities in 2022
52 years ago, Pick & Pay lobbied to sell petrol at a discount to consumers. The management team nearly collected jail time so negative was the government of those days' reaction! \ever since time began, the South African motorist has been subjected to a fixed price system that is being determined through a complicated formula that is changed on a monthly basis. Over this process, the consumer has superficial insight and no control.
This all changed in 2022. The aftermath of the Covid pandemic that caused financial hardship to many, is now being followed by the devastating war in Ukraine. This in turn creates the proverbial "last straw that will break the camel's back" to be loaded onto the already bruised back of vulnerable South African families and businesses that depend on fuel for their transport and livelihood.
The South African Minister of Finance, Mr. Godwongwana, announced the following during a news conference held on Thursday 31 March 2022:
- A "Payment Holiday " of R1.50 per liter of the fuel levy for the months of April and May 2022. The under-recovery of taxes, estimated at about R6 billion rand, will be offset by selling some of the country's strategic oil reserves
- A maximum price for 93 octane petrol is being introduced from 01 July 2022. Fuel stations will be able to sell 93 Octane petrol at a reduced price. Consumers will therefore have a choice amongst competing brands whilst being protected by a price ceiling.
- General re-regulation of all fuel prices, both 93- and 95 octanes will be introduced in phases Wide consultation has been conducted since 2018 between the government and various stakeholders. Presentations by industry organization SAPIA (South African Petroleum Industry Organization) and others such as the AA (Automobile Association) and OUTA (Organization Undoing Tax Abuse) ensure that the conversation remains on the table.
- Diesel prices are not regulated. To stimulate competitiveness, the Department of Minerals and Energy will from 01 June 2022, stop the publication of recommenced pricing.
- Various other measures are being considered. It is proposed that from 01 June 2022, the basic fuel price and the management demand levy on inland supply be adjusted. This could result in a saving of as much as 13c per liter. The revision of all aspects of the fuel price is also at hand. This includes elements such as the cost of storage- and distribution as well as the wholesale- and retail pricing structures.
- Paraffin. no fuel levy is being charged on paraffin. Vulnerable families that depend on this fuel type, will be seriously affected by a price increase of as much as R2.66 per liter.
- An Opportunity? Motorists that fill up with diesel or 93 octanes petrol, now have the choice between competing merchants. Although the per-liter savings on their own might not be enough to convince motorists to travel the extra kilometer to get there BUT when it is combined with the special offers from banks (e.g. FNB E-Bucks or Standard Bank's UCount). loyalty programs (e.g. Clicks or Dischem) and other innovative offers, it is a whole new ballgame!
- Fuel Rewards: Fuel station Brands are already in partnerships with banks, loyalty programs, coffee, takeaway food, and convenience stores to reward clients for their support.
- The Fuel Directory and your Smartphone: A dynamic online info system is now available to supply motorists with up-to-date information and navigation options that include:
- Fuel prices
- Address detail - nearest location and brand (e.g. Sasol or BP)
- Services available per site - coffee, food, restrooms, bank ATM’s, convenience stores, and much more
- Reviews - other visitors' experiences and referrals
Visit www.fueldirectory.co.za to experience and save!
Posted on Apr 08, 2022 by Panel Beater DirectoryBack to Articles