Today’s post by Jan-Hendrik Pretorius shows the dramatic increase in the global oil price is yet to feed through to fuel prices in South Africa as fuel prices are regulated and will only be adjusted on the first of April. Although fuel sales data are only published with a substantial time lag, the data suggest that fuel demand is relatively inelastic and has declined structurally post-pandemic. This could reflect a variety of reasons, including a shift to working from home, and more recently, improvement in railway performance.
