NATIONAL NEWS - The price of petrol will drop by 51 cents per litre in August, giving motorists a bit of relief in their pockets.
The new prices will come into effect this Wednesday, 5 August.
The Automobile Association (AA) said they expected the petrol price to drop by between 47 and 49 cents, diesel by approximately 70 cents per litre and illuminating paraffin by 70 cents a litre.
"The oil price has shown a gradual downward trend and has continued to decline since our mid-July review of the fuel price picture.
“Despite some rand weakness against the US dollar in the last few days, the South African currency unit has traded in a fairly tight band around R12.40 to the dollar since mid-month. The result is that most of the benefit of lower international product prices will be passed on to the motorist," said the AA in a statement.
The AA added that the recent downward trend in international petroleum prices would require a substantial reversal to heavily impact South African fuel prices.
"The short- to medium-term outlook for the fuel price is therefore likely to depend largely on the exchange rate,” it said.
Based on current local and international factors, the fuel prices for August 2015 in the South African market will be adjusted as follows:
- Diesel (0.05% Sulphur) will decrease by 75.82 cents/ litre.
- Diesel (0.005% Sulphur) will decrease by 73.82 cents/ litre
- Illuminating paraffin (SMNRP) will decrease by 93.0 cents/litre.
- Illuminating paraffin (wholesale) will decrease by 70.0 cents/litre.
- Petrol (Both 93 and 95) will decrease by 51.0 cents/litre.
- Liquefied Petroleum Gas (LPG) will decrease by 89.0 cents/kilogram.
