Diesel Prices Soar as Middle East Tensions Escalate

South African diesel prices are set to rise by up to R1.91 per litre in August due to escalating tensions in the Middle East, which have pushed global oil markets sharply higher.

TreasuryONE strategist Andre Cilliers warned that the conflict is far from resolved and has been keeping energy markets under pressure, despite a ceasefire announced in July between the US and Iran.

The consequences for South African consumers are direct and uneven. Central Energy Fund data shows diesel rising by R1.75 per litre for 50ppm and R1.91 per litre for 500ppm when August prices take effect. Petrol, on the other hand, is expected to remain largely unchanged.

At current inland rates, 95 Unleaded retails at R26.11 per litre, while 50ppm diesel sits at R25.16 per litre. The Slate Levy, presently set at R1.14 per litre, may also influence the outcome of fuel price adjustments.