30 May 2014
Moderating international petroleum prices and a stable exchange rate hold the promise of further relief for motorists at the pumps in June. This is the view of the Automobile Association of South Africa (AA) which was commenting on the unaudited data released by the Central Energy Fund in the last week of May.
“Based on the current data, we expect some good news when the audited figures are announced shortly,” said the AA. “The petrol price is showing a decline of between 15 and 18 cents per litre, with the decline for diesel anticipated to be between 16 and 19 cents per litre. Illuminating paraffin should also drop by around 11 cents per litre,” the AA added.
In the longer term, the data holds the potential of further relief past the mid-year mark. “International petroleum prices have traded in a fairly narrow band for the last eight weeks or so, and the average Rand / US dollar exchange rate has eased from R10.60 to R10.40 over the same period. We are hopeful that this favourable picture will continue to offset the steep rises in the fuel price seen earlier this year,” concluded the AA.