The Automobile Association (AA) says that unaudited mid-month fuel price data, by the Central Energy Fund (CEF), points to modest fuel hike in March.<\/p>\n
The AA described the current fuel price outlook for March as a mixed bag, noting a ‘standoff’ between rising international petroleum prices and a stronger rand against the US dollar.<\/p>\n
“In the first half of February, international petroleum prices increased by the equivalent of ten to twelve cents a litre, while the rand firmed by about seven cents against the US dollar,” the AA said.<\/p>\n
“As a result, the current data suggests a very modest fuel price increase of between three and four cents a litre for vehicle fuels, and a drop of around three cents a litre for illuminating paraffin.”<\/p>\n
In mid-day trade on Wednesday, the rand traded at R13.05, its best level since mid 2015, following better local economic indicators including jobs data and the Consumer Price Index (CPI).<\/p>\n
The association said that any sudden spike in oil prices or move in the rand could change the situation suddenly.<\/p>\n
“Under the circumstances, it would be speculative to pronounce on what the fuel price picture is likely to be at month end,” the AA said.<\/p>\n
A respite in fuel hikes would be a welcome relief for motorists who have endured a torrid 2017 so far.<\/p>\n
This is how the price could reflect at the pumps (wholesale for Diesel):<\/p>\n
| Fuel<\/th>\n | February official<\/th>\n | March expected<\/th>\n<\/tr>\n |
|---|---|---|
| 95 Petrol<\/td>\n | R13.62<\/td>\n | R13.65<\/td>\n<\/tr>\n |
| 0.05% Diesel (wholesale)<\/td>\n | R11.63<\/td>\n | R11.66<\/td>\n<\/tr>\n<\/tbody>\n<\/table><\/div>\n<\/div>\n \n |