April could see slight drop in diesel price
The Automobile Association (AA) has warned South African motorists of another possible increase in the price of petrol in April.
Commenting on unaudited data from the Central Energy Fund (CEF), the AA said there might be a marginal decrease in the prices of diesel and illuminating paraffin.
The price of petrol is set to increase by between nine and ten cents a litre.
The wholesale price of diesel is expected to decrease by between 34c/l and 38c/l, while the cost of illuminating paraffin is slated to come down by around 47c/l.
“The decrease in diesel and paraffin prices is certainly good news; diesel is a big input cost in major sectors such as agriculture, mining, manufacturing, and retailing, and an increase here often contributes to increased prices of basic commodities,” the AA said in a statement on Monday.
“If the rand/US dollar exchange rate, as well as the movement in international product prices, continues in its current downward trajectory, there is a likelihood that by the time the Department of Mineral Resources and Energy makes the official adjustment for next month, the under-recovery will be significantly less and result in a much-needed price decrease.”
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