South African fuel prices will fall across the board on Wednesday, mainly due to lower global crude oil prices as a result of the spread of coronavirus, the department of mineral resources and energy has said.
Petrol will decrease by 19 cents per litre and diesel will decrease 54c/l. Wholesale illuminating paraffin will fall by 68c/l, while the Single Maximum National Retail Price for illuminating paraffin will decrease 91c/l. The maximum LPGas retail price will sink by 32c/kg.
"The main reason for the lower oil prices is due to the continuous spread of the coronavirus even in countries outside China. This has added to investor and traveller concerns and as a result affected the demand for crude oil," the department said.
The AA had predicted "substantial fuel price reductions" for March due to falling world oil prices as coronavirus fears impact global economic activity.
"The impact of the novel coronavirus outbreak on global economic activity cannot be over-stated, and petroleum prices have retreated in lockstep with the downturn across world markets," the AA said.
"Under normal circumstances, we would be focusing on our serious concerns over the rand's trajectory, with the local currency having depreciated by nearly 30 cents against the US dollar since the start of February. However, these declines have all been overrun by the pullback in oil."
- Compiled by Jan Cronje and Lameez Omarjee