Cape Town – Consumers were likely to pay less for petrol, diesel and illuminating paraffin in June, the AA said, as it predicted decreases in the price of fuel.
Commenting on unaudited mid-month data from the Central Energy Fund (CEF), the AA said lower international product prices were the reason behind the predicted decreases.
Petrol was expected to drop by about R1 a litre, diesel by R1.30 a litre and illuminating paraffin by 80 cents per litre.
“The weaker rand/US dollar exchange rate, though, is taking away from the forecast decreases which would have been more significant had the rand been stronger. As it stands, both grades of petrol are heading for decreases of around R1/l, while the decreases to diesel are currently standing at around R1.30/l. Importantly, the data is showing that illuminating paraffin, which is such an important fuel at this time of the year, is headed for a decrease of around 80c,” the AA said.
The association noted that the outlook for June was made mid-month and would change before the official adjustment for June was made.
It said any decreases to fuel prices were welcomed and would bring relief to cash-strapped consumers which could bring prices down to rates last seen in February.
“Nonetheless, we remain confident that significant decreases will be seen to fuel prices for June,” the AA said.
Cape Times