{"id":316974,"date":"2019-05-15T08:28:25","date_gmt":"2019-05-15T06:28:25","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=316974"},"modified":"2019-06-03T09:52:52","modified_gmt":"2019-06-03T07:52:52","slug":"here-is-the-expected-petrol-price-for-june","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/energy\/316974\/here-is-the-expected-petrol-price-for-june\/","title":{"rendered":"Here is the expected petrol price for June"},"content":{"rendered":"

The latest data from the Central Energy Fund points to some slight relief for motorists at the pumps in June – but the new carbon tax coming in June could reverse this.<\/p>\n

As at 14 May 2019, the CEF’s data<\/a><\/strong> shows a slight over recovery for both grades of petrol (93 and 95), pointing to a 5 to 7 cents per litre drop on the cards for June.<\/p>\n

However, for diesel owners, things are not looking as good with the CEF showing an under-recovery of around 12 cents per litre.<\/p>\n

Taken at these rates, the petrol price would see a drop to R16.62 (petrol 95) and R16.42 (petrol 93) next month, while the wholesale price of diesel would jump to R15.01.<\/p>\n

The bad news for motorists is that June will see the introduction of a new tax.<\/strong> The carbon tax will come into effect on 5 June 2019 (the day the new prices kick in) and will add 9 cents per litre on petrol and 10 cents per litre on diesel.<\/p>\n

This means that even with an over-recovery in the petrol price right now, the pump prices will likely see an increase.<\/p>\n

The table below outlines the expected changes based on the current CEF data, taking into account the carbon tax.<\/p>\n

\n
\n\n\n\n\n\n
Fuel (Inland)<\/th>\nMay Official<\/th>\nOver\/(under) recovery<\/th>\nCarbon tax<\/th>\nJune Expected<\/th>\n<\/tr>\n
95 Petrol<\/td>\nR16.67<\/td>\nR0.05<\/span><\/td>\n(R0.09)<\/span><\/td>\nR16.71<\/td>\n<\/tr>\n
93 Petrol<\/td>\nR16.48<\/td>\nR0.07<\/span><\/td>\n(R0.09)<\/span><\/td>\nR16.50<\/td>\n<\/tr>\n
0.05% Diesel (wholesale)<\/td>\nR14.88<\/td>\n(R0.12)<\/span><\/td>\n(R0.10)<\/span><\/td>\nR15.10<\/td>\n<\/tr>\n<\/tbody>\n<\/table><\/div>\n<\/div>\n

What’s driving petrol prices<\/strong><\/p>\n

The key drivers behind the petrol price in South Africa are international petroleum prices – driven largely by oil prices – as well as the rand\/dollar exchange rate.<\/p>\n

On the exchange rate front, South Africa’s weakening rand ahead of the elections has put pressure on imports, with a trade war between the USA and China leading to volatility in the global markets.<\/p>\n

This has been the main contributing factor to an under-recovery in the petrol price, the CEF’s data shows.<\/p>\n

However, the movement in international prices has also fluctuated over the past two weeks, with international oil prices dropping from $75 per barrel highs to under $70, before swinging back again to settle at the current spot price of $71 per barrel.<\/p>\n

\"\"<\/a><\/p>\n

Economists predict that the oil price could reach $80 a barrel in 2019, which would lead to further hikes in the petrol price. In a worst-case scenario, at $90 a barrel, the petrol price could go as high as\u00a0R20 a litre<\/a><\/strong>.<\/p>\n

According to PwC chief economist Lullu Krugel, for every $1 movement in international oil prices, there is a 25c impact on the local petrol price in the same direction.<\/p>\n

\"\"<\/a><\/p>\n

\n

Read: How the new carbon tax will affect petrol and electricity prices<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

The latest data from the Central Energy Fund points to some slight relief for motorists at the pumps in June – but the new carbon tax coming in June could reverse this.<\/p>\n","protected":false},"author":10,"featured_media":78155,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9874],"tags":[8995,26],"class_list":["post-316974","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-energy","tag-cef","tag-headline"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/316974","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=316974"}],"version-history":[{"count":7,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/316974\/revisions"}],"predecessor-version":[{"id":321019,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/316974\/revisions\/321019"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/78155"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=316974"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=316974"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=316974"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}