Big fuel price hike likely for September

File picture: Courtney Africa / Independent Media.

File picture: Courtney Africa / Independent Media.

Published Aug 15, 2017

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Johannesburg - South African motorists can expect more pain at the fuel pumps from the beginning of September, with mid-month fuel price data pointing towards a rather hefty price increase.

Based on the data available thus far, the Automobile Association is predicting a petrol price hike in the region of 63 cents a litre, while diesel prices look set to rise by around 57 cents and illuminating paraffin by 58 cents.

95 Unleaded petrol currently sells for R13.05 in Gauteng and R12.56 at the coast.

"The Rand has weakened an average of 20 cents against the US dollar since the start of August. Meanwhile, international fuel product prices have remained on the higher plateau they reached towards the end of July,” the AA said.

“This means all fuel types are likely to experience substantial price increases at month end.”

According to the SA Reserve Bank’s website, the rand has traded between R13.19 and R13.49 to the dollar during the month so far, but it does appear to have stabilized around the R13.30 mark in recent days. 

While this won’t be enough to reverse September’s fuel price fortunes, it could soften the blow to some degree, assuming the rand remains stable or appreciates.

IOL Motoring

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