The Automobile Association (AA) predicts a hefty hike in fuel prices in April
"The additional 27 cents to the General Fuel Levy (GFL) and Road Accident Fund (RAF) levies announced by finance minister Tito Mboweni in February come into effect in April and will add extra costs to every litre of fuel purchased, in addition to the increased monthly adjustment."
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“According to the latest data, petrol is set for a massive increase of 73 cents a litre, diesel an increase of 39 cents, and illuminating paraffin an increase of 37 cents. With the increase to the levies factored in, petrol could rise by as much as R1 a litre, and diesel by 66 cents a litre. The levies are not added to the cost of illuminating paraffin.”
As a result of the levies, motorists will be paying R5,96 per litre of fuel to the GFL and RAF levies, or between 35% and 40% to taxes on every litre purchased.
“The unfortunate reality is that the expected hikes will still be substantial. The minor relief of the pullback in petroleum and the exchange rate will be cold comfort to South Africans reeling from the ongoing economic damage being inflicted as a result of Covid-19, and a decade of economic decline,” said the AA.
The association expressed concern for the negative consequences this fuel price increase will have on household budgets and public and taxi transport fees paid by many South Africans.
Source: AA