Petrol price expected to drop by at least 56 cents in March

FEBRUARY 16, 2016

South African motorists can breathe a sigh of relief as according to the Automobile Association (AA), the petrol price is expected to drop by at least 56 cents by March.

"The Rand has recouped some of its losses against the dollar and traded in a fairly narrow band since the end of January," said AA in a statement on Tuesday.

This drop will see 93 unleaded petrol price for inland drop from R12.15 to just over R11.50 and 95 unleaded from 12.43 to R11.87.

"This is allowing South Africans to benefit from lower international petroleum prices and provides some cushioning against any upward movement," the AA said.

The AA noted that the current indicators show a decrease of between 56 and 59 cents a litre.

It said that although the international price of diesel climbed slightly in the first half of February, the exchange rate offset some of diesel’s gains – without the stronger exchange rate, the increase would have been 17 cents a litre instead of the seven cents a litre currently predicted.

Parafin price is however set to increase by at least 10 cents.