THE petrol price is set for a decrease of about nine cents a litre, with diesel coming down by seven cents, and illuminating paraffin by 12 cents.
This is according to the AA, commenting on mid-month fuel price data from the Central Energy Fund.
The AA said petrol prices were showing slight reductions at mid-month, among a tug-of-war between international oil prices and the Rand/US dollar exchange rate.
“Oil prices have slipped a little, with the landed price of fuels in South Africa showing a slight reduction in the first half of August.
“Over the past six weeks, oil has traded in a fairly narrow band, indicating a more reliable plateau has been reached, absent of any unexpected shocks.”
The AA said the Rand has lost ground against the US dollar since the start of the month, with the average rate climbing from just over R16.80 to the dollar to nearer R17.40.
“This spells trouble for South African fuel users if it continues, but for now, the oil price is the stronger of the two forces. If this picture retains stability in the second half of the month, we expect only modest changes to the fuel price,” it said.
