More bad news for fuel and diesel users
While the price of diesel decreased slightly on Wednesday, there is still no relief for most motorists as the price of petrol went up with 12c a litre.
“The exchange rate showed a creditable strengthening during April,” the Automobile Association (AA) says.
“With a flat oil price, consumers could have expected the price of fuel to drop by up to 29c a litre, but the recent increase in international product prices means that diesel will only drop by 3c to 4c a litre, with a 9c drop on the cards for illuminating paraffin.”
However, a 42c a litre increase in the landed price of petrol considerably outstripped the exchange rate’s strength, meaning petrol users will have to fork out an extra 12c a litre.
“International petroleum prices have settled into a pattern of gains which are not always being overcome by recent Rand strength against the dollar,” the AA adds.
“We forecast steady rises in the price of fuel in South Africa in the short to medium term, with the possibility of larger spikes if the Rand comes under pressure,” the association concludes.
