Mr Eric Lucas MP, IFP Parliamentary Study Group on Minerals and Energy Chairperson, said today that:

"The Inkatha Freedom Party has learnt with great concern of yet another increase in the retail price of petrol by 29 c/l on 1 May 2002. The increases of 26c/l in the diesel price and 11 c/l in the price of illuminating paraffin are equally of concern."

"We are particularly concerned about the effect these increases will have on our economy and especially inflation. South African consumers are already reeling under the shock of substantial increases in the cost of food and other basic necessities. These latest fuel price increases will add to their suffering."

"We accept that the international crude oil price and the Rand / Dollar exchange rate play a determining role in the cost of local fuel. However, government taxes also play a significant role and it is in this regard that the government has the ability to assist hard-pressed consumers."

We also noted that the Department of Minerals and Energy is conducting a third study into the fuel pricing formula. The previous two studies did not assist consumers at all. We can only hope that the outcome of this new study will benefit consumers and the economy."

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