Cape Town — The Automobile Association (AA) noted an expected decrease in the price of diesel, with it dropping by a possible 78c a litre.
The official adjustment of the fuel prices comes into effect on 5 April.
The AA was commenting on unaudited fuel data from the Central Energy Fund (CEF). It added that 95 unleaded petrol could fall by 1.5c a litre, while 93 will decrease by 4c. Illuminating paraffin is set to fall by R1.39 a litre.
ALSO READ | Cabinet gives green light for draft electricity bill
“The main driver behind the decreases is lower international product prices, while the higher average rand/US dollar exchange rate is counter-balancing these gains. The weaker rand is eroding around 40c/l of the decreases, meaning the decreases could have been more significant had the rand been stronger throughout March,” News24 quoted the AA saying.
According to TimesLIVE, the organisation added that the data only reflects the basic fuel price and other factors such as zone differential costs (the cost of transporting fuel from coastal to inland areas) and adjustments to the slate levy may still be made by the department of mineral resources & energy and energy. If these are made, they will affect fuel prices, but will only be known once the official adjustment is made.
Follow African Insider on Facebook, Twitter and Instagram
Picture: Pixabay
For more African news, visit Africaninsider.com
Compiled by Junaid Benjamin
