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Battered Rand pushes petrol price higher: 'September fuel outlook is bleak' - AA

2018-08-30 11:25

Image: Motorpress

More fuel price hikes are on their way courtesy of a weaker Rand, reports the Automobile Association (AA) commenting on  month-end fuel price data supplied by the Central Energy Fund (CEF). 

The Association says: "International petroleum prices remained virtually unchanged on average during August. But the Rand lost substantial ground against the US dollar, increasing the landed price of fuels."

Petrol is expected to increase by between 23 and 25 cents a litre, with diesel rising by around 28 cents.
 
The AA notes: "This will, for the first time, push the cost of 93 unleaded octane fuel inland above the R16 a litre mark, a significant barrier." 

Looking to the future, the AA says the September outlook is bleak. 
 
"The Rand remains under pressure and a recent spike in international oil prices could mean more pain at the pumps if it continues. A return to cheap fuels doesn't look likely and consumers will continue to be forced to economise," concludes the AA.

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