Fuel increase possible warns the AA

By Staff Writer
The Automobile Association of South Africa (AA) has warned that current unaudited mid-month fuel price data from the Central Energy Fund indicates that consumers could be paying more for fuel in December.
 
This is as a rest of the weaker Rand to Dollar exchange rate. "All fuel types are showing the same picture: the benefit of lower oil prices is being offset by a weaker exchange rate. The nett result is that the mid-month picture shows only small changes in fuel prices where they might otherwise have been considerably lower," noted the AA.
 
According to the AA, unleaded 93 petrol had dropped by almost 21 cents a litre at mid-month, however, the exchange rate increased by nearly 23 cents, which means consumers could face a potential increase of two cents per litre at the pumps.
 
Diesel may see an increase of between one and three cents per litre according to the current data, while illuminating paraffin could go up by as much as five cents per litre.
 
"Unleaded 95 is the only gainer, with the current data showing a drop of three cents a litre versus a potential drop of 26 cents had the exchange rate remained steady," stated the AA.
 
"If Rand weakness continues to outstrip oil price gains, motorists will be paying more for fuel in December," said the AA.

Recent Articles

Featured Should you take out a loan or rent-to-own?

We compare personal loans to new finance models that are emerging, such as rent-to-own, which offers the same solution in a different format.

Why "insurance fronting" for your children is a bad idea

We examine the consequences of “insurance fronting” for your children and investigate legal ways to decrease your children’s premiums in South Africa.

Are you paying too much in bank fees?

We find out how you can bank with savvy, to best manage fees and charges.

What’s the minimum income for a car loan?

When you apply for vehicle finance, your lender will consider several factors when assessing your application, including your income.


Latest Guide

Guide to debt rehabilitation solutions