Petrol price: Bad news for motorists
Commenting on unaudited mid-month fuel price data released by the Central Energy Fund, the Automobile Association warns motorists of an increase in fuel price during February.
“This rise means bad news for fuel users and comes at a time when many consumers are already feeling the financial pinch,” Automobile Association (AA).
While unleaded 95 octane petrol is expected to drop by eight cents a litre, 93 octane petrol, diesel and illuminating paraffin are all predicted to rise. Consumers of 93 octane petrol can expect a cent-a-litre rise while diesel users can expect 13 cents for both grades. Illuminating paraffin is only expected to rise by 10 cents.
“International oil prices surged by nearly two dollars a gallon in late December 2019 before beginning a recovery which was halted by the recent tensions between the USA and Iran. In the first week of January 2020, the two-dollar mark was tested again, albeit with a slight recovery since,” says the AA.
Contributing to the price increases is the weakening Rand to the US dollar dropping as low as R13.95 at the end of December 2019. “The Rand’s performance will be key in keeping any further oil hikes at bay,” the Automobile Association (AA) concluded.
