Motorists warned of possible fuel price hike in August
The Automobile Association has warned of another increase in the price of fuel in June.
The association says the mid-month figures from the Central Energy Fund forecasts a hike of 7c a litre for ULP95 petrol, while ULP93 is showing a nominal decrease of just over 1c per litre.
However, diesel could see a significant increase for the second consecutive month.
The outlook at mid-month is of an increase of around 48c per litre, while Illuminating paraffin is also showing an increase of around 47c per litre.
“At this stage of the month the numbers are more reflective of the way the fuel prices are likely to go when they are adjusted at month-end for August,” the AA said in a statement on Monday.
“Currently the trajectory indicates that all fuel will be more expensive in August, with the quantum of the increases most probably being higher than the current data indicates.”
The AA said the current data reflects that international oil prices are higher on average than the previous month and are the main contributors to the expected increases.
“Naturally, we remain concerned that the effect of more diesel prices will impact directly on consumers through higher prices given that this fuel is a major input cost in so many sectors.”
The AA believes this is likely to change in the next two weeks.
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