Get extra cash ready for petrol‚ holiday motorists advised
The petrol price could go up as much as 72 cents a litre in December‚ the Automobile Association says‚ sounding a caution that next year could also hold price hike shocks.
The association adds it expects illuminating paraffin to rise by around 76 cents a litre and diesel by 64 cents.
“Sharp movements in international petroleum prices have combined with a weakening rand to push fuel prices higher for December‚” the AA said on Tuesday‚ commenting on unaudited month-end fuel price data released by the Central Energy Fund (CEF).
“Oil has continued the strong run we have seen throughout November and the trend remains upwards.
“The rand has followed a similar trend‚ weakening against the US dollar on average‚ although it has been surprisingly resilient in the days following South Africa’s recent credit ratings downgrade.”
Looking ahead‚ the AA said: “South Africa’s economic situation remains weak‚ and our view is still that further fuel price hikes can be expected during the remainder of 2017 and into the first quarter of 2018.”
It added: “There is always the temptation to spend more on non-essential items during the holiday period‚ but we advise motorists to be prudent and keep a cushion against higher motoring costs in the new year.”
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