Week 8 That Was : Petrol Price

Petrol price is R 20.19 liter from R 18,73 per liter. It has increased by R1.46 at Tuesday midnight. Then what does it mean? It is estimated that each minibus taxi does about 6 000 kilometers per month or 72 000 kilometers per year. It is like going from Pretoria and Cape Town four (4) times. It is about 120 trips from Pretoria to Johannesburg. I am assuming the distance of 50 kilometers between Pretoria and Johannesburg.

A mini bus taxi use 11.8 liters for every 100 km which about normal for any car. This means that it needs 708 liters of petrol to do 6000 kilometers per month. It is calculated as follows (11.8 x 6000)/ 100 to get the number of liters for 6000 kilometers. We then multiply the 708 liters by R1,46 which becomes R 1033,68. The taxi owner has to have additional R1033,68 to run his taxi.

Who is going to pay for the R1033,68?

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Published by Motseki Majake

I am an insurance professional helping clients with mass market solutions.

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