South Africans may soon find that one of the most effective ways to cope with sharply rising fuel costs is simply to stay off the roads. Government and fuel industry representatives have suggested remote work as a practical and immediate way for households to cushion the impact of a looming fuel-price shock, with increases expected to take effect from 1 April and potentially extend into May.
The idea, which was raised during a media briefing on fuel pricing on Wednesday, was put forward by Robert Maake, the fuel-pricing mechanism director at the Department of Mineral and Petroleum Resources. According to the Department of Mineral Resources and Energy, fuel-demand curtailing measures like working from home had not been seriously discussed by stakeholders yet because fuel supply remains adequate.
Fuel Price Increase Impact on Households
Avhapfani Tshifularo, executive director of the Fuel Industry Association of South Africa, said fuel-demand curtailing measures like working from home had not been seriously discussed by stakeholders yet because fuel supply remains adequate. “We don’t need to force that, but it’s probably one of the options that employers can consider, just to make sure that they ease the pain on their employees in terms of the cost of fuel,” he said.
Global fuel-price shocks and growing supply fears have been driven by global oil-market volatility linked to the US-Israel war on Iran, which has kept Brent crude prices above $100 a barrel for almost two weeks. In response to the disruptions, Bangladesh, Pakistan, Vietnam and Thailand have all introduced new rules to allow public servants to work from home, and governments there have encouraged the private sector to do the same.
International Response to Fuel Crisis
In the Philippines, some government departments now force employees to work from home at least one day a week. Thailand is also encouraging work from home and has called on citizens to ditch suits in favour of T-shirts in a bid to cut down on energy used for cooling. Sri Lanka has shortened working weeks for some government employees to four days, with most state institutions, including schools and universities, now closed every Wednesday to conserve fuel.
Motorists are also only allowed to buy 15 litres of fuel a week. In Egypt, all shopping centres, stores and restaurants must now be closed by 21:00 on Wednesday and 22:00 on weekends. As the 2023 Israel-Iran conflict continues, the impact on households will be swift.
The impact on households will be swift. The Fuel Industry Association illustrated that a typical commuter driving 1 000km a month, using about 80 litres of fuel, would pay an extra R400 a month if petrol prices were to rise by R5 a litre. Here are some ways to reduce fuel costs:
- Work from home to reduce fuel consumption
- Carpool or use public transport
- Plan your trips to reduce fuel usage
Although final figures will be confirmed when the Department of Mineral and Petroleum Resources announces prices, industry data already points to a steep increase of several rand a litre.
