Here is the expected petrol price for July 2017

·15 Jun 2017

Fuel prices are expected to fall sharply in July which will come as a relief for consumers currently in the grips of a recession.

Official figures released earlier this month showed that South Africa’s economy contracted by 0.7% (quarter-on-quarter, seasonally adjusted) during the first quarter of 2017.

This follows the 0.3% contraction during the last quarter of 2016 and pushes the country officially into a technical recession.

The latest information from the Department of Energy shows that the price of petrol 93 (ULP & LRP) in Gauteng could decline by 59.2 cents per litre, while the price of diesel with a 0.005% sulphur content could drop by as much as 59.6 cents per litre in July.

The price of petrol dropped by 25 cents at the beginning of June.

According to independent economist, Fanie Brink, the main reasons for these expected price changes can be attributed to the decrease in the crude oil price to almost $47 per barrel over the past week.

This, the economist said, is mainly because the US government’s data showed that crude oil and fuel stockpiles unexpectedly soared at a time of year when they normally drop.

Brink said that the average international petroleum product prices declined sharply over the past two weeks and could result in a 55.8 cents per litre decrease in the gasoline price and 56.3 cents per litre in the diesel price.

The strengthening in the exchange rate to about R12.70 against the US dollar could bring about further reductions of 3.4 cents per litre in the petrol price and 3.3 cents per litre in the diesel price next month.

The final price changes will be announced by the Minister of Energy towards the end of the month.

Here’s what you can expect to pay in June: