Possible fuel price drop for August


The Automobile Association (AA) has said that a recent drop in the price of bent crude oil and instability of the rand against the various international currencies, could lead to a slight decline in the price of petrol for August.

"After a period of stability towards the last week of June, the exchange rate has climbed from R12.20 to the dollar to almost R12.40 to the dollar. The drop in international petroleum prices has kept ahead of the exchange rate though, meaning that petrol is currently in line for a reduction of 28 per litre, with diesel and illuminating paraffin set for a decline around 50 to 55 cents per litre,” a statement from the association read.

The announcement comes after the price rose by between 41 and 44 cent per litre for petrol, and five to eight cents for diesel and illuminating paraffin at the start of this month.

A short while ago, the rand was trading at R12.45 against the US dollar with Brent Crude Oil being priced at $57.93 a barrel.