'Petrol price likely to remain stable'
Economists say that it’s likely the price of fuel will remain stable for the rest of the year.
JOHANNESBURG - While the petrol price comes down at midnight, economists have warned that this won't necessarily have a positive effect on other consumer prices.
The Energy Department on Friday announced the price of all grades of petrol will drop by 67c at midnight, while diesel and illuminating paraffin will cost 25c less.
LP gas will cost R1,08 less.
Economist Kevin Lings says, "Petrol prices have risen quite dramatically before this reduction. It has risen up to R2,47, now we get 67c a litre reduction and this means the petrol price is R1,80 higher than it was two years ago."
The department says the drop is due to international oil prices significantly decreasing and the scrapping of the state levy.
Economists added that it's likely the price of fuel will remain stable for the rest of the year.