The Automobile Association of South Africa recently released a statement revealing that the petrol price is expected to increase by a total of R1.28, that of diesel by 77 cents, and that of illuminating paraffin by 56 cents, on Wednesday.
These increases will be compounded by rises in fuel taxes which come into effect in April. There will be an additional increase of 15 cents for the fuel levy and 5 cents for the RAF levy (which don’t apply to illuminating paraffin).
“According to the unaudited month-end fuel price data released by the Central Energy Fund, strong oil prices and an ever-weakening Rand have combined to set up another massive fuel price hike,” added AA.
The association said that the landed price of petrol, which has increased from R6.60 a litre at the beginning of March, to R7.40 a litre now is the ‘real horror show’.
“We are exceptionally concerned about the Rand’s trajectory, given that no specific factors have arisen this month which could account for the decline. The currency’s slide might reflect an accelerating loss of appetite for foreign direct investment in South Africa. We urgently call on government to take concrete steps to address the economic weaknesses which are affecting the country’s attractiveness to foreign capital,” they concluded. – Seithati Semenokane