We’re now half way through a month that kicked off with a fuel price increase and September looks to be heralding the same.
According to the Automobile Association of South Africa, motorists should brace for a fuel price increase next month. The reason for the increase in fuel prices comes as a result of a weaker Rand following a period of stability.
As such unaudited mid-month fuel price data from the Central Energy Fund paints a rather grim picture.
Petrol is set to increase by up to 10 cents, illuminating paraffin by 12 cents and diesel will reportedly increase by 16 cents.
While internationally oil prices have dipped to below $60 per barrel, the weaker currency has left South Africans vulnerable to a fluctuating price. According to the AA, there are now signs of an uptick in the price of oil putting locals at risk.
And the AA has warned that there is worse news on the horizon.
“We are concerned that there may be worse to come,” the association said.
“The South African economy is in a parlous state, with ongoing policy uncertainty and a growing debt burden. The country is ill-placed to weather its domestic challenges, let alone developments on the international front, and this leaves fuel users increasingly exposed to movements in the Rand,” it added.[Source – AA][Image – CC 0 Pixabay]