It will be the third consecutive increase to fuel prices this year if this increase comes to pass.
The National African Federated Chamber of Commerce and Industry has already said that petrol has increased by almost R4 since January, which constitutes about a 12% increase.
The AA said that the international product price of diesel climbed somewhat in the first half of this month, while petrol had made a substantial jump.
It said that the ground gained by the local currency had cushioned some of the blow, with diesel showing a slight decrease, but petrol users were in for a shock.
“Diesel’s smaller increase is likely due to variations in international refining capacity, as well as the approaching end of the northern hemisphere winter when demand for diesel fuels for use in power plants and as a heating fuel diminishes,” it said.
“The rand has appreciated quite strongly against the US dollar since the end of March, with the daily exchange rate used for fuel price calculations rising from more than R14.60 to the dollar on March 31 to under R14 currently.”
The AA said price stability in illuminating paraffin was welcome as South Africa heads into its own winter, during which many households will be using paraffin as a heating fuel, but the rise in petrol was a cause for concern.
- African News Agency (ANA)