Fuel hike on the cards
South African motorists are potentially in for another hefty fuel hike, just a month after government relaxed movement restrictions.
The Automobile Association has been commenting on unaudited mid-month fuel price data released by the Central Energy Fund.
The association predicts that petrol could increase by R1.59 a litre, diesel by R1.48, and illuminating paraffin by R1.94.
The association's Layton Beard says the main drive behind this is that oil is continuing its march back towards its previous levels in the first half of June.
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"So any gains that we made because of the reduction in the world economic activity, which led to a reduced oil price are being wiped by a return to that economic activity," said Beard.
"Demand for oil which is increasing, therefore means the price of oil is going up as well."
The rand/US dollar exchange remains a concern of the associations and if that weakens any further then these numbers can drastically change before the end of the month going into the month of July.
