Slight reduction in fuel price a possibility

Fuel prices in South Africa are expected to decrease in June as compared to May, despite higher oil prices and a weaker rand.

The forecasted decrease is around 70c/L for petrol, R1/L for diesel, and 40c/L for illuminating paraffin.

The Department of Mineral Resources and Energy will make a formal announcement, and further changes to the data are possible. The decrease in diesel prices is especially beneficial as it will help consumers cope with the weak economy and rising interest rates.

“Many people are struggling to make ends meet, and any relief, even if it is slight, will assist consumers. The forecast decreases in the price of diesel are especially welcome given that this fuel accounts for significant input costs across all sectors, which are often passed on to consumers. A decrease in the price of this fuel is, therefore, welcome and timely,” concluded the Automobile Association.

Source: AA