Cape Town — South Africans can expect further fuel relief at the pumps as early projections for October point to another significant decrease in fuel prices.
According to unaudited data from the Central Energy Fund (CEF), the Automobile Association (AA) said both grades of petrol, diesel and illuminating paraffin were set for big price drops, following four consecutive months of decreases, BusinessLIVE reported.
The data currently points to a decrease of R1.18 per litre and R1.26 per litre for 93 unleaded petrol and 95 unleaded petrol, respectively. Diesel is set to decrease by R1.10 per litre, and illuminating paraffin will reduce by R1.04 per litre, the AA said,
The reductions are due to lower international product prices, and the improved performance of the rand to the US dollar. The decreases will also ease pressure on consumers’ pockets.
ALSO READ | Fuel scarcities, price hike deepen Nigerian frustrations
With the current mid-month outlook a positive one, the AA expected the price to change before the final adjustments but was confident that there would be a significant final decrease.
According to IOL, the Department of Mineral Resources and Energy (DMRE) said the snapshots were not predictive and did not encompass other possible modifications, including slate levy adjustments or retail margin changes.
Both petrol grades have decreased significantly since June 2024. 93 unleaded cost R23.91 in June, R22.86 in July, R22.71 in August and R21.79 in September. 95 unleaded cost R24.25 (inland) and R23.91 (coastal( in June, R23.26 (inland) and R22.47 (coastal) in July, R23.11 (inland) and R22.32 (coastal) in August and R22.19 (inland) and R21.40) coastal for September.
Diesel has also seen significant price decreases as it cost R20.96 inland and R20.17 on the coast in June 2024, R20.66 (inland) and R19.87 (coastal) in July 2024, R20.38 (inland) and R19.59 (coastal) for August 2024 and R19.59 (inland) and R18.80 (coastal).
ALSO READ | Significant fuel decreases expected in September
According to The Citizen, The main driver for the current recovery is the lower international oil prices, boosted by a stronger overall rand compared to a month ago.
“The rand has been strong and stable, but more importantly, the price of Brent Crude has dropped from $80 a barrel a month ago and currently sits at about $72 a week, which is still good,” Old Mutual Group chief economist Johann Els, said.
Follow African Insider on Facebook, Twitter and Instagram
Picture: David Roumanet from Pixabay
For more African news, visit Africaninsider.com
Compiled by Matthew Petersen
