Hefty fuel price increase forecast for December
Motorists have been warned to brace themselves for a substantial fuel price increase.
The Automobile Association (AA) is predicting a massive fuel price hike for December.
The AA says sharp movements in international petroleum prices, combined with a weakening Rand are likely to push fuel prices higher for the end of 2017.
They are commenting on unaudited month-end fuel price data released by the Central Energy Fund (CEF).
"Oil has continued the strong run we have seen throughout November and the trend remains upwards," the AA says.
"The Rand has followed a similar trend, weakening against the US dollar on average, although it has been surprisingly resilient in the days following South Africa's recent credit ratings downgrade."
The Association says it expects illuminating paraffin to rise by around 76 cents a litre, diesel by 64 cents, and petrol by 72 cents.
"South Africa's economic situation remains weak, and our view is still that further fuel price hikes can be expected during the remainder of 2017 and into the first quarter of 2018," the AA says
"There is always the temptation to spend more on non-essential items during the holiday period, but we advise motorists to be prudent and keep a cushion against higher motoring costs in the new year," it concludes.