South African motorists can expect more pain at the pumps from the beginning of June, according to the Automobile Association.
Crunching the mid-month fuel price data, the association is predicting that the price of petrol will go up by around 27 cents a litre while diesel is likely to increase by around 61 cents and illuminating paraffin by 60 cents.
Fluctuations in the oil prices and exchange rate between now and month-end could still change this picture, although so far the tug of war is not working in our favour.
"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," the AA said. "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."
South Africa's rand, which was trading at R15.20 at the time of writing, remains vulnerable due to numerous local and international risks, including Britain's June 23 vote that could see it exiting the EU, which could have an impact on South African trading ties with the two parties.
On the upside, many analysts believe international oil prices will remain flat for the time being, due to Canadian output coming back on stream following May's wildfires and hopes of greater stability in Nigeria. According to AFP, further increases in global supply are also expected as a result of mothballed rigs being brought back online as current oil prices, hovering around 80 percent above February's near 13-year lows, are making them viable again.