Another petrol price increase in July
Diesel is estimated to increase by 61 cents per litre and paraffin by 60 cents
POLOKWANE – Due to factors such as the exchange rate and the price of crude oil, the petrol price is set to rise by 27 cents per litre this July.
Diesel is estimated to increase by 61 cents per litre and paraffin by 60 cents.
According to the Automobile Association (AA), citing mid-month data released by the Central Energy Fund (CEF), ongoing oil strength, with limited support from the exchange rate, has set the stage for further increases in the fuel price.
“International petroleum prices have appreciated less sharply in the month to date than was the case in the equivalent period in May, but the gains have nonetheless been significant,” says the AA.
The AA states that meanwhile, the stronger Rand/US dollar exchange rate has not been enough to counter oil’s rises, giving a risk of substantial fuel price hikes at the beginning of July.
“With the cold of winter having set in, people who use paraffin for heating and cooking are poised to experience a sharp jump in their energy costs, in addition to a rise in transport-related costs.”
The AA advises motorists to reconsider their driving patterns and car sharing habits in order to economise in the event that the current run of fuel price rises continues in the medium term.
