{"id":334617,"date":"2019-08-15T01:00:17","date_gmt":"2019-08-14T23:00:17","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=334617"},"modified":"2019-08-15T09:53:55","modified_gmt":"2019-08-15T07:53:55","slug":"here-is-the-expected-petrol-price-for-september-3","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/energy\/334617\/here-is-the-expected-petrol-price-for-september-3\/","title":{"rendered":"Here is the expected petrol price for September"},"content":{"rendered":"

The Department of Energy’s Central Energy Fund has published mid-month data<\/a><\/strong> on the movement of the fuel price, showing how much motorists are likely to pay in September.<\/p>\n

Cash strapped consumers can expect an additional hike in fuel prices in September, with diesel prices reversing the small reprieve granted in August.<\/p>\n

The country has seen a petrol price hike for six months out of eight so far in 2019, while diesel has been up for seven months.<\/p>\n

At mid-month, the CEF shows the price of 95 grade petrol increasing by 10 cents per litre<\/strong>, while diesel looks set to rise by around 15 cents per litre<\/strong>.<\/p>\n

For 93 grade petrol could see a slight decrease of 2 cents per litre, due to a greater benefit (of around 10 cents per litre) from movements in international petroleum prices.<\/p>\n

The main drivers behind the fuel price changes are changes in the international cost of petroleum products (mainly influenced by international oil prices) and the changes in the rand\/dollar exchange rate.<\/p>\n

So far in August, international petroleum price changes have worked in the country’s favour, contributing to a 34 cents to 45 cents per litre drop in prices. However, this has been almost completely undone by the weakening of the rand, which has contributed to a 43 cents to 47 cents per litre increase in prices.<\/p>\n

Oil price changes<\/strong><\/p>\n

International product prices have increased slightly in August, but remain lower than at the end of July.<\/p>\n

Crude oil prices have hovered around the $60 a barrel level for most of the month, fluctuating around various news topics – most notably the US\/China trade war being pushed by US president Donald Trump.<\/p>\n

The value of crude has slumped almost 20% since April and has traded as low as $57 a barrel in recent sessions.<\/p>\n

News of tariff increases being pushed by Trump on China being delayed have led to a rally in prices, but higher prices would need to be sustained over a longer period for this to start having a negative impact on local fuel prices.<\/p>\n

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

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

Rand\/dollar exchange rate<\/strong><\/p>\n

The rand has weakened significantly in August, helped by international events, but exacerbated by local politics and warnings over the economy.<\/p>\n

US president Trump’s trade war with China continues to lead as the main influence on the exchange rate, with news of the influential president postponing the 10% tariff hike on certain Chinese goods to December, helping the rand recover some of its losses in previous sessions.<\/p>\n

The tariffs were initially due to kick in on 1 September, which sent investors fleeing from riskier assets, such as those in emerging economies like South Africa.<\/p>\n

“The rand now has the potential to gain some upward momentum but we will be keeping a very close eye on the geopolitical landscape,” said Bianca Botes, treasury partner at Peregrine Treasury Solutions.<\/p>\n

Locally, South Africa’s economy has been kept under pressure by talk of a credit downgrade from Moody’s, while negative sentiment persists around low economic growth, high unemployment, bankrupt SOEs and political infighting.<\/p>\n

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

Here is how fuel prices could change:<\/strong><\/p>\n

\n
\n\n\n\n\n\n
Fuel (Inland)<\/th>\nAugust Official<\/a><\/th>\nSeptember Expected<\/th>\n<\/tr>\n
95 Petrol<\/td>\nR15.92<\/td>\nR16.02<\/td>\n<\/tr>\n
93 Petrol<\/td>\nR15.72<\/td>\nR15.70<\/td>\n<\/tr>\n
0.05% Diesel (wholesale)<\/td>\nR14.33<\/td>\nR14.48<\/td>\n<\/tr>\n<\/tbody>\n<\/table><\/div>\n<\/div>\n
\n

Read: Here is the official petrol price for August<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

The Department of Energy’s Central Energy Fund has published mid-month data on the movement of the fuel price, showing how much motorists are likely to pay in September.<\/p>\n","protected":false},"author":10,"featured_media":124401,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9874],"tags":[26,1512,12603],"class_list":["post-334617","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-energy","tag-headline","tag-moodys","tag-peregrine-treasury-solutions"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/334617","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=334617"}],"version-history":[{"count":7,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/334617\/revisions"}],"predecessor-version":[{"id":334755,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/334617\/revisions\/334755"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/124401"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=334617"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=334617"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=334617"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}