Unaudited mid-month data released by the Central Energy Fund indicates that there could be a decrease in the price of all grades of diesel and petrol in July.
Based on the current data, the price of ULP95 could decrease by around R1.10c/litre, while the price of ULP93 could drop by around R1.15c/l. Diesel is again edging towards a decrease of 55c/l and illuminating paraffin reflects a decrease of around 45c/l.
However, these decreases will not move the price of fuel to the lower prices 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,” the Automobile Association (AA) said in a statement.
However, the AA said this trajectory may change ahead of the official adjustment by the Department of Mineral Resources and Energy at the end of the month.
International product prices remain relatively low, with the price of global oil dropping significantly at the beginning of the month. The impact of the average Rand/US Dollar exchange rate for the reporting period must also still be fully factored in which may move fuel pricing either way.
“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,” the AA said.
Fuel prices are expected to be adjusted on July 3, the first Wednesday of the new month.
