South African general fuel levy
The South African general fuel levy is eating into motorists' pockets. Image Credits: Pixabay

Home » South African Petrol Price Set to Increase in July, But Could’ve Been Worse

South African Petrol Price Set to Increase in July, But Could’ve Been Worse

The South African Department of Energy is expected to announce a fuel price adjustment later on Friday. Automobile Association (AA) has on Thursday released the petrol price outlook for July. The AA said the petrol prices are anticipated to increase by 26 cents a litre in July‚ meanwhile diesel will increase by 24 cents and […]

By SAPeople Contributor
29-06-18 11:17
in Business
South African general fuel levy
The South African general fuel levy is eating into motorists' pockets. Image Credits: Pixabay

The South African Department of Energy is expected to announce a fuel price adjustment later on Friday.

Image Credits: Pixabay

Automobile Association (AA) has on Thursday released the petrol price outlook for July.

The AA said the petrol prices are anticipated to increase by 26 cents a litre in July‚ meanwhile diesel will increase by 24 cents and illuminating paraffin by 20 cents.

There is good news though.

“Without oil’s decline‚ the fuel price hike for July would have been far higher‚” the AA said. A price increase of 40 cents a litre would have been more likely for July, said the AA.

“Fortunately‚ international oil prices have retreated at a similar rate‚ resulting in a fairly moderate fuel price increase outlook for July‚” the AA said.

International petroleum prices and the rand’s strength against the US dollar are the main influence of fuel hike.

The AA said, “Given the increased cost of fuel in South Africa‚ the AA again urges government to reconsider the high cost of the added taxes which account for up to one third of the petrol price. Currently, R5.30 of every litre of petrol is paid towards the General Fuel Levy and the Road Accident Fund Levy.”