The People Against Petrol and Paraffin Increases (PAPPI) has called for South Africans to hold a national protest against fuel price increases by voting out the current government.
Fuel prices are set to go up by 54-cents a litre for 93 and 95 octane unleaded petrol on Wednesday. Diesel will go up by 1 cents a litre and illuminating paraffin will climb by 3 cents a litre.
“We are calling on all South Africans to take part in our national protest against the fuel price increases by going to the polling station next Wednesday and voting out this government. The government is making money out of the taxes we pay on fuel. Go to the polls and vote the ANC out of government, but make sure you vote for a party that’s big enough to make an impact in Parliament,” says National Convenor for PAPPI, Visvin Reddy.
The Department of Energy has announced that the increase is mainly due to the sharp rise in global oil prices and a weakening Rand.
Analysts say while the rising petrol price is not expected to result in higher inflation and interest rates in the short-term, it will erode the consumer’s disposable income.
“Although you’re not seeing the fuel inflation rising sharply, because fuel prices were rising this time last year, undoubtedly there will be an effect on the consumer in that their disposable income will be eroded somewhat by the higher fuel prices. So, if you take into account that the effects on inflation need not be dramatic, we continue to expect that interest rates will remain unchanged,” says Economist at Econometrix, Laura Campbell.