Basic Fuel Price Review

The Department of Energy (DoE) is asking for your comment, suggestions or additions to the review of the Basic Fuel Price and levies.

The department announced a review of the basic fuel price structures for petrol, diesel and illuminating paraffin which might see four cost components reduced for a slight cut in the overall price, including taxes. The review aims to revise, add or remove certain taxes and levies which will influence the price of diesel, petrol and paraffin.

You are invited to provide suggestions or comments in support or objection via the form below. Should you be unsure, please read the live comments, media, summary or documents below.   Closing date is midnight 31 January 2019.

368 active citizens in this campaign, so far

Add your comment now.

Do you support this review of the Basic Fuel Price?
Yes I doNo I do notNot fully

Do you believe the revisions are adequate? (see summary)
Yes I doNo I do notNot fully

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  • In South Africa, while the wholesale price of petrol, diesel and illuminating paraffin (IP) are not regulated, the pump prices (retail prices) of all grades of petrol are regulated and government also sets the Single Maximum National Retail Price (SMNRP) for IP.
  • The regulation of the prices of petroleum products or some control of the prices is meant to protect consumers against high prices and to ensure that markets develop in an orderly manner.
  • The DoE said at the time that the BFP was implemented, South Africa was a net exporter of refined petroleum products.
  • It was first introduced in 1999 as a formula to calculate prices of petroleum products produced by the South African refining industry.
  • “The BPF does not take the true production and associated costs of refining locally but rather takes the view of what the alternative costs would be to import refined product into South Africa, thereby establishing a deemed import parity price. The BFP is a deemed import parity price used as a benchmark to determine domestic fuel prices,” said the department.
  • In 2004, a revised BFP formula was implemented to reflect a true import parity price with the inclusion of stock costs and stock financing among others.
  • The current composition of the BFP includes freight, insurance, cargo dues and ocean leakage, among others.

Reference markets

  • When coming to reference markets, although South Africa was a net exporter of fuels prior to 2006, from time to time fuels were imported to supplement local supply due to refinery shutdowns.
  • Reference markets are referred to as a big refining centres which have huge storage facilities to supply the world with petroleum products.
  • Currently, reference markets used for the BFP for petrol and illuminating paraffin is currently based on the Mediterranean area (50%) and Singapore (50%) and that of middle distillates (diesel and illuminating paraffin).
  • For diesel and illuminating paraffin, it is 50% from the Mediterranean area and 50% from the Arab Gulf.
  • The department recommends that the reference markets be revised as follows: 70% free on board (FOB) Singapore and 30% FOB Arab Gulf for diesel and illuminating paraffin and 60% FOB Singapore and 40% FOB Mediterranean for petrol.
  • These combinations and weighting imply that the Mediterranean would no longer be a reference market for diesel, nullifying concerns relating to the absence of quotations for appropriate Sulphur grades.
  • FOB is the price of the petroleum products on board the vessel and ready to depart.

Freight

  • On freight, which comprises three elements including a 15% premium added to the Average Freight Rate Assessment (AFRA), that the premium should be removed.
  • It said that during investigations this premium could not be justified.
  • The freight rate includes all the costs associated with transporting products from international markets to their respective destinations. The department recommends that the 15% premium should be removed from the freight rate and actual freight costs be obtained from the relevant international pricing agencies.
  • The department envisages that the revised BFP formula will be implemented in 2019 following extensive consultation with stakeholders.
  • The department will consolidate the comments and conduct a workshop before finalising its position on the BFP review.

LIVE COMMENT FEED

Displaying newest 5 comments sent.

Adrian
No I do not
Regular people all over the world are pissed at their leaders, inclusive of the self-appointed elite energy cabal that has weaponized money and power and now looking down on the rest of mankind in hubris and stupefied with the wine of fornication. So much for Keynesian economic principles imprisoning our markets. (John Maynard Keynes a communist and a pedophile)

So many frustrated people left their comments here.

This is why-Globalist democracy is crumbling:
https://youtu.be/gMFdjqsY1e8
Sam
Yes I do
Let me help you break out of the grip of the oil oligarchy. Don't be slaves to your haters anymore. It is better to die on your feet than to live on your knees
dirk
No I do not
Kindly direct the following message to the relevant actors.

The debate about the basic fuel price is about the suppression of mankind's consciousness.
Whatever you as compromised mind-controlled government agent promulgate shows your hidden intentions and who and what you serve. Your thinking or lack of it controlled by personal profit and politics.

Government = mind control = control of creative consciousness. Cuo bono? Governments all over the world are private corporations with owners and shareholders and We the People ain't in it. We never profit from your operations on behalf of your Swiss NAZI owners. That's the truth.

SA government proxy of Swiss Banksters proxy of satan pay attention - your role model - your symbols eg. phallic NAZI-Free Mason & Illuminati & Religion - your modus operandi influenced by being drunk on the wine of anti-christ whore of Babylon (City of London) fornication shall be your destruction as long as you refuse to serve "We the People"

About big oil, drugs, gold/ diamonds/ currencies/ stocks/ mortgage, prison, birth certificate and all other kinds of security bonds/ treasuries/ commodities/ birth certificates/ taxes/ tariffs/ interests/ registration fees/ donations and human trafficking related to snuff, pedophilia, pedovoria, vampirism, prostitution, organ transplant and slave plants (plantations and factories) and other forms of abuse of mankind for profit and anti-christ power.

The real obituary of 41st President of America a NAZI CIA usurper:

https://tiffanyfitzhenry.com/2018/12/04/the-real-obituary-of-george-h-w-bush/amp/?__twitter_impression=true

Coming soon to South Africa. Another one bites the dust. Talk to your NAZI Overlords or get out of your corporate government position asap or face Christ consciousness. Pity you in this life and the after-life for any lack of positive decision or engagement. You have been warned. You have been activated for free-will destruction or reconstruction. Heed the warning. The choice is yours.
Natalie
Yes I do
We pay an unbelievable amount of tax on our fuel. I just look around and see how people are struggling financially. We are retired and on a fixed income, when fuel prices increase, everything rises in cost! Even a basic like bread.
Mignonne
Yes I do
If a change can be brought about by the review of the Basic Fuel Price, then it is a good idea. By change I mean that the price can be brought down and encouraged to stay down. The Public cannot afford another increase in fuel prices. The review needs to be simple and not involve too many taxes and levies. Petrol Stations should be allowed to compete against one another to offer the best prices to the Public.

DOWNLOAD DOCUMENTS

  • Basic Fuel Price review discussion paper
DearSA-Fuel Price Review

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