South Africans to get a fuel price breather as oil prices stabilise: AA
South Africans will be given a little breather at the petrol pumps next month.
The Automobile Association said on Friday that a better exchange rate and stable oil prices‚ spelt “virtually unchanged fuel prices in August”.
Two weeks ago the AA warned motorists of a possible price rise of 19 cents a litre for petrol‚ 13 cents for diesel‚ and 22 cents for illuminating paraffin. The prediction threw South Africans into a panic‚ sparking sporadic protests and a nation-wide call on government to address the record prices.
On July 4‚ 93 octane petrol increased by 26 cents per litre and 95 octane by 23c/l.
But the news has since gotten better.
"During July‚ the recent weakening trend of the rand against the US dollar slowed‚" the AA said in statement.
"Over the same period‚ international oil prices showed a slight average decrease which almost exactly cancelled the rand's losses.
"As a result‚ petrol is expected to increase by around two cents a litre‚ and illuminating paraffin by four cents a litre.
"On the plus side‚ diesel will be cheaper by approximately four cents a litre. After several successive fuel price increases‚ motorists and other fuel users are due a breather‚ and the general stability of the fuel price during July will come as a relief to many.
"2018 has been a year of volatility in the fuel price‚ and the see-sawing Rand and oil price suggest that caution should be the watchword‚" said the AA.