Motorists can expect significant decreases in fuel prices across the board in June, based on current unaudited mid-month data released by the Central Energy Fund (CEF), the Automobile Association announced on Thursday.
According to the data, the price of 95ULP was expected to drop by around 61c/l, and 93ULP by around 63c/l, the AA said. The wholesale price of diesel is expected to decrease by around 74c/l and the price of illuminating paraffin by almost 69c/l.
The main drivers behind the anticipated decreases are a strengthening rand and lower international oil prices, the CEF data noted.
Movements in international oil product prices decreased significantly at the beginning of May, resulting in an expectation of lower fuel prices aided by the rand trading stronger against the dollar since the end of last month.
“The expectant decreases are good news for consumers who have been battered and bruised by these prices in the past couple of months. With these expected decreases, the price of 95ULP will dip slightly to below the R25/l mark and the price of 93ULP will cost R24.52/l,” the AA said.
“While fuel is still more expensive now than it was at the beginning of the year, these forecast decreases do offer some relief," said the AA.
It added that while the figures based on mid-month data were promising, the picture might change before the adjustments for June were announced.
