Another drop in fuel prices expected in July

Another drop in fuel prices expected in July

The Automobile Association says mid-month data points to another drop in the fuel price in July.

Petrol station/ iStock

In June, fuel prices dropped significantly due to the stronger rand and lower oil prices.

The unaudited data from the Central Energy Fund (CEF) shows a decrease in the price for all fuels, with petrol currently showing the biggest decrease.

According to the data, the AA forecasts a drop of around R1.15c per litre in both grades of petrol.

Diesel is expected to decrease by around 55c per litre.

Illuminating paraffin is set to decrease also by around 45c per litre.

The AA warned that the numbers may change ahead of the official adjustment by the Department of Mineral Resources and Energy at the end of the month.

Spokesperson Eleanor Mavimbela says, however, that the decreases will not lower fuel prices to the levels seen at the beginning of the year. 

“At this stage of the month, the numbers are more reflective of the way the fuel prices are likely to move when they are adjusted for July. Currently, the trajectory indicates that all fuels will be cheaper in July.

“These decreases, if materialised, will go a long way to further alleviating the fuel price burden – and its associated impact on other prices – felt by millions of South Africans and is certainly welcome.”


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