Another fuel hike expected in March

0:00
play article
Subscribers can listen to this article
<i>Image: iStock</i>
<i>Image: iStock</i>

Bullish international oil prices are setting the stage for yet another hefty hike in fuel prices. This is according to the Automobile Association (AA), which was commenting on unaudited mid-month fuel price data released by the Central Energy Fund.

The Association said the current picture shows month-end increases of up to 56 cents a litre for petrol, 47 cents for diesel, and 41 cents for illuminating paraffin.

“Oil prices advanced at a leisurely pace during January, but the increase has quickened since then. International product prices shot up by around eight percent in the first two weeks of February," the AA said.

The Association notes that on the plus side, the Rand/US dollar exchange rate has worked in South Africa’s favour, with the Rand strengthening around eight cents against the US dollar in February, although this has been far from enough to offset the oil price."

"If oil continues on this trajectory, South Africa's fuel prices might edge back into record territory in the medium term. Fuel users also remain vulnerable to economic shocks which might weaken the Rand," it said. 

We live in a world where facts and fiction get blurred
In times of uncertainty you need journalism you can trust. For only R75 per month, you have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Journalism strengthens democracy. Invest in the future today.
Subscribe to News24
Daily Poll
Do you prefer to read your newspaper in print or online?
Please select an option Oops! Something went wrong, please try again later.
Results
Definitely print. I like the feel of a newspaper in my hands.
9% - 6 votes
I like reading news online.
52% - 36 votes
I don't mind. I like both.
39% - 27 votes
Vote
Latest Issue

View the Witness in PDF

Latest Issue
Read the latest news from KZN in digital form.
Read now