SA motorists warned August fuel price hike on the cards
The Automobile Association has predicted a significant rise in the price of petrol, diesel and illuminating paraffin month-end.
JOHANNESBURG – The Automobile Association (AA) has called on South Africans to limit all non-essential travel, warning of a possible fuel price hike in the coming days.
The association has predicted a significant rise in the price of petrol, diesel and illuminating paraffin month-end.
It said the daily Rand to US dollar exchange rate has spiked as well as international oil prices.
“The AA’s forecast, based on mid-month data, indicates that petrol is set for an increase of 87 cents per litre; diesel 58 cents per litre; and illuminating paraffin 56 cents. The weakening rand, as a result of the riots, will, however, play a major role as the exchange rate is a major indicator for the local fuel price.”
Earlier in the week, there were concerns of fuel shortages following an interruption to supply that was caused by the week-long violence.
This resulted in government restricting the bulk sale of fuel, as many began to panic buy.
The Department of Mineral Resources and Energy enforced a law prohibiting South Africans from purchasing petroleum products in portable containers.
Acting Minister in the Presidency Khumbudzo Ntshavheni announced this on Wednesday when she was giving an update on the continuing violence and looting gripping parts of the country.