IFP PRESS STATEMENT RELEASED BY: 
Mr Eric Lucas MP
IFP Minerals and Energy Spokesperson

15th August 2008

"The Inkatha Freedom Party would like to welcome the steady drop in the international crude price and we hope that it will continue on its downward trend", said Mr Eric Lucas MP, IFP Minerals and Energy Spokesperson. 

Mr Lucas commented: "The slump in the oil price, which has lead to the decrease in South Africa's fuel price, is a welcome relief for many struggling South Africans.  

"We are encouraged by these positive international economic trends, which has seen the oil price sink to its lowest level since May 5, more than 20% below its record of $147,27 in July. 

"Cash-strapped South Africans have been hit hard by the high international oil price, ever-escalating food and transport costs, Eskom's tariff hikes and the interest rate hikes. The escalating interest rates have largely been fuelled by increases in the international crude price and high food prices. 

"Furthermore, the IFP is optimistic about the predication that if the oil price remains low and the rand strong, a decrease of approximately R1 for petrol and R1,60 for diesel could be on the cards for South African consumers next month. 

"One issue of concern that remains worrying for the IFP is the high price of paraffin. According to the Paraffin Safety Association of Southern Africa the real price of paraffin has increased by 54%, this year alone! The poorest of the poor use paraffin on a daily basis and it is therefore important that government pay urgent attention to the ever-rising price of paraffin."  

In conclusion Mr Lucas said: "The IFP is pleased that heavily indebted South Africans could breathe a sigh of relief yesterday when the Reserve Bank left interest rates unchanged. On the whole, it looks like there is some light at the end of the tunnel for hard-pressed South Africans." 
 

For more information:  
Mr Eric Lucas MP: 082 557 2481
Liezl van der Merwe: 083 611 7470