Heading into the final week of July, the latest data from the Central Energy Fund points to a steeper petrol price hike coming next month.<\/p>\n\n\n\n
According to the CEF’s latest daily snapshot, the extent of the anticipated petrol and diesel price hike has increased with motorists now looking at a 20-25 cents per litre price hike for petrol<\/strong> and an almost 60 cents per litre hike for diesel<\/strong>.<\/p>\n\n\n\n The expected hikes come despite a much stronger rand, which has contributed to an over-recovery of 19 cents per litre for all grades.<\/p>\n\n\n\n However, this positive move for prices is not enough to counteract the effect of rising global oil prices, which are contributing to a 37 cents to 77 cents per litre under-recovery in prices.<\/p>\n\n\n\n The positive moves from the rand are also not expected to last, with economists and analysts this week pointing to coming pressure from an expected interest rate hike in the United States this week.<\/p>\n\n\n\n While the rand has recovered in recent sessions – and is currently comfortably trading under R18 to the dollar – the unit has been an overall loser against the dollar year to date, and remains highly volatile to both local and international economic disruptions.<\/p>\n\n\n\n Any move weaker by the rand in the coming days (and to the end of the month) could see the small benefits to local fuel prices walked back and lead to an even bigger increase at the pumps next month.<\/p>\n\n\n\n