The Automobile Association said that variable international oil prices, and an equally unpredictable Rand/US dollar exchange rate, have combined to provide a mixed picture for fuel prices in June.
Commenting on unaudited month-end data released by the Central Energy Fund, the AA said that “international oil prices have been up and down in May.”
It said that the basic petrol price has traded between 740 and 780 cents a litre, which averages out 19 cents lower for the month.
“The Rand was also variable, although it traded in a fairly restricted range between roughly R14.15 and R14.60 to the US dollar. The Rand was about 12 cents weaker over the month," the Association said.
"This means that petrol prices will still drop by about ten cents a litre. However, the basic diesel price increased slightly, by two cents a litre, so diesel users are looking at an increase of about 14 cents a litre, with a nine-cent hike for illuminating paraffin."
However, the AA said the overall picture may look a little different with the introduction of the Carbon Tax in June.
“This will add nine cents a litre to the petrol price, and ten cents to the diesel price. In effect this means that petrol will decrease by only one cent a litre, while diesel will increase more significantly by around 24 cents a litre,” the AA noted.
