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Massive fuel price hike expected this month

Prices are expected to go up by over 80c a litre due to higher oil prices & an increase in the fuel levy.

FILE: The price adjustment announcement is expected later today. Picture: Katharyn Williams-Jaftha/EWN.

JOHANNESBURG - Analysts are warning of a big increase in petrol prices this month, with the stronger rand doing little to ease the burden on consumers.

Fuel prices are expected to go up by around 83 cents a litre, due to higher oil prices and an increase in the fuel levy.

The Automobile Association's Layton Beard says motorists will need to brace themselves for a big increase in the petrol price this month due to the high international oil price, and the 30 cents fuel levy announced by Finance Minister Pravin Gordhan in his February budget.

"We're looking at around 83 cents a litre for petrol and around 95 cents a litre for diesel. The numbers include the 30 cents fuel levy."

WATCH: Budget 2016 in 60 seconds

The Institute of Race Relations' Ian Cruickshanks says the rand's recent strength was not enough, with the ripple effect of higher prices to be felt by all.

"The basic cost of living is going up whether it's fuel, electricity or food - they're all going up."

The Department of Energy is due to make its price adjustment announcement later today.