1 The government department responsible for setting the price of fuel in South Africa is the Department of Mineral Resources and Energy.

Here are the answers to your questions: 1.1 The government department responsible for setting the price of fuel in South Africa is the Department of Mineral Resources and Energy. 1.2 The price of a liter of diesel 50 PPM in coastal provinces such as KZN in May 2026 is not provided in the given information. This data would need to be obtained from an external source. 1.3 A maximum price, also known as a price ceiling, is a legal limit set by the government on how high the price of a good or service can be. It is typically set below the equilibrium price to make essential goods more affordable for consumers. 1.4 The prices of petrol 93 unleaded for inland provinces for January 2026 and May 2026 are not provided in the given information. Therefore, the percentage increase cannot be calculated. To calculate the percentage increase, the formula would be: Percentage Increase = New Price - Old PriceOld Price × 100\% 1.5 A well-labelled maximum price graph would show: • A vertical axis representing Price and a horizontal axis representing Quantity. • An upward-sloping Supply Curve (S) and a downward-sloping Demand Curve (D). • The intersection of the supply and demand curves indicating the Equilibrium Price (P_e) and Equilibrium Quantity (Q_e). • A horizontal line drawn below the equilibrium price, labelled as Maximum Price (P_max). • At P_max, the quantity demanded (Q_d) would be greater than the quantity supplied (Q_s), illustrating a shortage. 1.6 The government sets a maximum price on fuel primarily to protect consumers from excessively high prices, especially since fuel is an essential commodity that impacts transportation costs and the overall economy. This measure aims to ensure affordability and stabilize living costs. 1.7 Maximum prices can affect demand and supply in the market as follows: • Demand: When a maximum price is set below the equilibrium price, the lower price makes the good more affordable, leading to an increase in the quantity demanded. • Supply: At the same time, the lower maximum price reduces the profitability for producers, causing them to be less willing to supply the good, resulting in a decrease in the quantity supplied. • The combined effect of increased quantity demanded and decreased quantity supplied creates a shortage in the market. Send me the next one 📸