Shock Fuel Price Hike In Store – says AA
The outlook for motorists unfavourable.
As April 1 creeps closer the AA confirms that fuel prices may jump by as much as two Rand a litre.
This is the Automobile Association (AA) is warning consumers after the Central Energy Fund’s preliminary mid-month data showed that South African motorists are set to be battered by high international petroleum prices and the Rand’s continuing decline against the US dollar.
“The Rand has lost nearly ten per cent of its value against the dollar since late February, and oil prices are far off their lows of January,” the AA said.
“Petrol is showing an increase of up to 98 cents a litre, diesel around 63 cents and illuminating paraffin 42 cents.”
The AA also said that these increases do not include the Minister of Finance’s new fuel levies which will add an additional 80 cents per litre from April.
“The next adjustment could set a new record for a monthly price increase,” the AA said.
“The only positive is a slight softening of international petroleum prices in the first weeks of March, but unless the Rand gains some ground against the US dollar, the outlook for motorists remains unfavourable.”
