Over the past six months, the cost of oil has fallen from $110 to its current cost of just over $60 per barrel. As a result, there have been three separate reductions in the price of petrol in South Africa, from just over R14 per liter in August 2014 to just over R10 per liter in February 2015. This decline is great news in terms of funds for both organizations and buyers. Besides the fluctuating cost of unrefined oil, a few different factors also impact the price we pay when we fill up our automobiles. This is what also influences it. Say no to plagiarism. Get a tailor-made essay on “Why Violent Video Games Should Not Be Banned”? Get the original essay Since oil is traded in dollars, the Rand/Dollar conversion scale influences the number of rands we have to pay for a barrel of oil. Over the past few months, the rand has devalued against the dollar, implying that although the price of oil has fallen, it costs significantly more in rands to buy a similar measure of oil. The net impact of this situation today is a drop in the price of gasoline, but not as much as if the Rand had retained its equivalent value. Fuel requests. The 1971 National Street Demonstration allows the South African government to collect an exact amount of fuel for every liter of fuel sold. Since 1998, the government has raised more than R240 billion for this purpose. In the face of new spending plans set to be implemented, it is normal for gasoline spending to be increased keeping in mind the end goal of paying the expenses, for example, the upcoming electronic toll system. Fuel Wholesalers in South Africa It includes seven notable oil organizations and around 600 stand-alone wholesalers. The government fixes the discount benefit, keeping it stable at around 15%. There are approximately 4 600 petrol stations in South Africa, all of which must have a discount on the petrol they offer. Like the discount benefit, the net revenue from gasoline retailing in South Africa is regulated by the Vitality Branch, and is controlled by the individual expenditure of each administration station, including including things like rental, intrigue, labor, overhead, and innovative compensation. Gasoline and diesel are transported to terminals and gas stations by pipeline, rail, ocean and street, expenses which are then included in the price of gasoline. This explains why fuel costs are lower in urban beach communities where there are adjacent ports, instead of inland urban areas where fuel should be transported more easily by trucks. It is important to understand the price of gasoline because it influences individuals and organizations as it rises and falls. For customers, a rise in the price of gasoline means less extra money for different products and projects, including extravagances. This therefore influences the measurement of liquidity paid by organizations. Particularly for organizations in the vehicle or coordination sector, fuel costs intensely influence their operational expenses. So, what awaits us for gas prices in the coming months? Keep in mind: this is just a sample. Get a personalized document from our expert writers now. Get a Personalized Essay In a current statement, the Automobile Association of South Africa said the expansion of universal oil costs, as well as a rise in the Rand/Dollar conversion rate,..