South African motorists will be hit with a fuel price hike next Wednesday, following months of decreases.
Although June’s petrol price had not been officially announced at the time of writing, unaudited month-end data from the Central Energy Fund points to increases of R1.18 a litre for petrol and 22 cents a litre for diesel, while illuminating paraffin is expected to go up by 41 cents.
This means the price of 95 Unleaded petrol is looking set to rise to R12.70 at the coast and R13.40 inland, where 93 ULP will now cost R13.20.
The wholesale price of diesel, meanwhile, will climb to R10.70 at the coast and R11.30 inland, but bear in mind that forecourt prices will be somewhat higher than that.
“The global lockdowns under Covid-19 saw fuel demand plummet. The resulting oversupply left storage bunkers full, with the extraordinary outcome that oil prices in the USA briefly dipped below zero,” the Automobile Association said.
However, oil prices – while still historically low – are starting to tick upwards as global economic activity increases.
“This is not unexpected,” the AA added, “and South Africans should remember that the fuel price is currently around four rand per litre lower than it was before the Covid-19 crisis hit.
“Fortunately, the rand has strengthened during May, which has helped insulate the country from some of the rise”.
