Fuel price relief could be short-lived, warns AA

The Energy Department has announced that from 5 April, the price of 95 octane will decrease by 24 cents a litre while diesel is going down 10 cents a litre.

FILE: Picture: EWN.

JOHANNESBURG - The Automobile Association (AA) is warning this week's decrease in the petrol price could be short-lived, due to the recent political developments.

The Energy Department has announced that from 5 April, the price of 95 octane will decrease by 24 cents a litre while diesel is going down 10 cents a litre.

However the AA's Layton Beard says there's reason for caution.

“Local political developments will always have an impact on the rand-US dollar exchange rate. As we’ve seen in the last couple of days the depreciation of the rand has been quite significant. And I think because of that if this depreciation continues into April the outlook for the petrol price in May does look pretty bleak.”

(Edited by Zamangwane Shange)