Petrol price to drop

The price of petrol will drop by 51 cents per litre in August, giving motorists a bit of relief in their pockets.

Earlier today the Automobile Association (AA) said they expected the petrol price to drop by between 47 and 49 cents, diesel by approximately 70 cents per litre and illuminating paraffin by 70 cents a litre said ENCA in a report .

The price of diesel will decrease by 73.82 and 75.82 cents/ litre, while Illuminating paraffin (SMNRP) will cost 93.0 cents/litre less.

Petrol (Both 93 and 95) will decrease by 51.0 cents/litre and  Liquefied Petroleum Gas (LPG) will decrease by 89.0 cents/kilogram.

“The oil price has shown a gradual downward trend and has continued to decline since our mid-July review of the fuel price picture.

“Despite some rand weakness against the US dollar in the last few days, the South African currency unit has traded in a fairly tight band around R12.40 to the dollar since mid-month. The result is that most of the benefit of lower international product prices will be passed on to the motorist,” said the AA in a statement.

The AA added that the recent downward trend in international petroleum prices would require a substantial reversal to heavily impact South African fuel prices.

“The short- to medium-term outlook for the fuel price is therefore likely to depend largely on the exchange rate,” it said.

The pricing schedule for all the pricing zones will be published on Tuesday, 04 August 2015.