The weaker rand exchange rate versus the dollar is contributing to the expected increase
16 January 2024 - 15:23
byMotor News Reporter
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The AA expects slight increases for petrol and diesel next month.
Picture: DALL-E
After significant fuel-price cuts this month, unaudited data from the Central Energy Fund (CEF) points to possible increases in all grades of fuel prices in February, except for illuminating paraffin.
Commenting on the data, the Automobile Association (AA) said consumers can expect a slight increase of about 11c/l for ULP95, 14c/l for ULP93, and 9c/l for diesel. Illuminating paraffin is showing a slight decrease of about 3c/l.
“The weaker rand to US dollar exchange rate is contributing most to the expected increases in fuel even if it is by a small margin. However, more stable international oil prices are having the reverse impact, resulting in the lower illuminating paraffin prices,” noted the association.
This is mid-month data, and the outlook is likely to change before the official announcement of the February fuel price adjustments by the department of resources and energy at month-end.
Despite this the AA has recommended that motorists add a little extra to their fuel budgets for February.
The official adjustment of fuel prices comes into effect on February 7.
On January 3, SA motorists welcomed the new year with good news when the retail price of 93 unleaded petrol decreased 62c/l,while 95 unleaded dropped 76c/l.
Wholesale diesel prices decreased R1.26/lfor 0.005% sulphur and R1.18/lfor 0.05% sulphur. Illuminating paraffin saw a reduction of R1.24/l.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Fuel prices set to rise in February, AA says
The weaker rand exchange rate versus the dollar is contributing to the expected increase
After significant fuel-price cuts this month, unaudited data from the Central Energy Fund (CEF) points to possible increases in all grades of fuel prices in February, except for illuminating paraffin.
Commenting on the data, the Automobile Association (AA) said consumers can expect a slight increase of about 11c/l for ULP95, 14c/l for ULP93, and 9c/l for diesel. Illuminating paraffin is showing a slight decrease of about 3c/l.
“The weaker rand to US dollar exchange rate is contributing most to the expected increases in fuel even if it is by a small margin. However, more stable international oil prices are having the reverse impact, resulting in the lower illuminating paraffin prices,” noted the association.
This is mid-month data, and the outlook is likely to change before the official announcement of the February fuel price adjustments by the department of resources and energy at month-end.
Despite this the AA has recommended that motorists add a little extra to their fuel budgets for February.
The official adjustment of fuel prices comes into effect on February 7.
On January 3, SA motorists welcomed the new year with good news when the retail price of 93 unleaded petrol decreased 62c/l, while 95 unleaded dropped 76c/l.
Wholesale diesel prices decreased R1.26/l for 0.005% sulphur and R1.18/l for 0.05% sulphur. Illuminating paraffin saw a reduction of R1.24/l.
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