High fuel prices may lead to petrol station closures across South Africa

Luis

Luis

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High fuel prices may lead to petrol station closures across South Africa

Fuel retailers in South Africa, particularly those in rural areas, could be forced to cut staff hours or close their doors if fuel prices do not recover soon.

This is because local motorists are driving less due to high petrol and diesel prices. As a result, forecourts sell fewer litres of fuel while maintaining the same margin, regardless of fuel prices.
 
Luis said:
Fuel retailers in South Africa, particularly those in rural areas, could be forced to cut staff hours or close their doors if fuel prices do not recover soon.
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Imagine there was a way for them to stay open and not worry about paying pump jockeys to do a job the rest of the world (excluding New Jersey, USA) realised was obsolete decades ago...
 
bwana said:
Imagine there was a way for them to stay open and not worry about paying pump jockeys to do a job the rest of the world (excluding New Jersey, USA) realised was obsolete decades ago...
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Unfortunately in SA, honesty is an issue. My car was totalled after been hit by a taxi driver trying to get away after stealing petrol.
 
Historically Petrol stations made their money through side services like a workshop or a convenience store of some sort. so yes, it is going to be rough for them, especially as so many have changed over to using franchises and now have a set stable rental income instead of an unstable sale based one. The steady march towards electric vehicles is another thing that will eventually kill Petrol stations anyway; they can either start the transition to charging stations now or have a Kodak moment down the line.
 
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bwana said:
Not sure that would be an issue if, like in the US, you have to pay first. In fact I think it would eliminate the problem altogether.
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Either card upfront if the amount is yet to be determined, or cash upfront if you're putting in a set amount (like taxis do). Will fix the issue in the article too where
Van der Merwe also said that petrol stations had observed a substantial increase in motorists driving off without paying for their fuel.
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Even fuel stations in suburbs are closing at night. i see a Caltex station ( still branded Caltex as it s a privately owned station) I go past regularly that closes at 6PM now, and opens again at 6AM, just has a few armed response companies that use the forecourt for staging. The BP down the road is still 24 hours, though that might change soon as well, probably will close from 10PM till 6AM as well, as you find almost no customers in that time, stores around are all closed. A lot of the smaller ones will definitely cut a shift off, it generates less revenue than the fuel sales cover, and closing the shop the same thing.

you might very well soon have a hybrid system, attendant present from 6AM to 6PM, and then outside that an armed kiosk with a single cashier running the pumps, as many stations already have the armoured room and cash accepting safes as part of their normal operation, so will be self serve after payment is done instead. does not worry me, I know how to fill my car, helps having spent a few years in the military as a glorified pump jockey, filling aircraft as part of my duties. though it was a lot less work simply walking across the wings, as opposed to poor Cat5, who had to do circles in the fuel truck each time i was topping up tanks with 100l at a time, for a total of just shy of 2000l. when i moved to jets it was so much easier, just connect ground lead, then the fuel hose, and press start on the control panel, and wait the minute or so it took to get 8 tons into the tanks.
 
Luis said:
High fuel prices may lead to petrol station closures across South Africa

Fuel retailers in South Africa, particularly those in rural areas, could be forced to cut staff hours or close their doors if fuel prices do not recover soon.

This is because local motorists are driving less due to high petrol and diesel prices. As a result, forecourts sell fewer litres of fuel while maintaining the same margin, regardless of fuel prices.
Click to expand...
Well articulated heading and intro, for a change

Biankebot has left the chat
 
Since I've stopped drinking and now drive too and from the pub (I get the irony in that) I always stop at my local Astron on the way home for a garage pie around 23:00/24:00. There's about 6 petrol attendants all sitting outside watching stuff on their phones and zero cars in the forecourt.
 
I'd have to say I'm more than somewhat surprised there are rural stations that are open 24hrs a day, I can't see the night shift ever having been profitable in those areas.
 
Drove from the Eastern Cape to JHB in April and I found so many petrol stations in the small towns were closed at night and only open at 9 am or were closed permanently
 
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