AA expects a May petrol increase

• Published date: 19 April 2024
• Author: Yogashen Pillay the mercury
• Publication title: Diamond Fields Advertiser

Layton Beard, the AA spokesperson, said South African fuel prices had reached record-high increases over the past three years despite the government not increasing the General Fuel Levy or Road Accident Fund levy

“Central Energy Fund (CEF) data indicates that unleaded 93 petrol inland in May 2022 cost R21.51 per litre but increased to R23.01 in May 2023. According to current data from the CEF, this price will again increase, by 37c/litre, in May, pushing the price close to R25.15/litre.”

Beard said the outlook for unleaded 95 inland was not much better, with the CEF data showing an increase of 38c/litre.

“This will push the price of this fuel to around R25.50/litre, higher than that R25.42 seen in August 2022, but not quite the record price of R26.74 in July that year. Despite this bad news, diesel is set to decrease by 35c/litre while illuminating paraffin is also set to come down, by 28c/litre.“

Beard said the drop in diesel prices was especially welcome as it would not result in higher input costs across various sectors and that would, in turn, not be a driving factor in consumer prices increasing.

He said a review of the data showed that the expected increases in the cycle were a result of fluctuations in international product prices that had taken a sharp upward trajectory at the beginning of the month.

“The relative stability of the rand against the US dollar...