South Africa motorists will be hit with significant petrol and diesel price hikes in February, after international oil prices rose in January.
Month-end data from the Central Energy Fund (CEF) shows that petrol is likely to rise by between 72 cents, for 93 Unleaded, and 75 cents in the case of 95 Unleaded, while diesel should see hikes in the region of 70 cents (50ppm) and 73 cents (500ppm).
These predictions are based on unaudited data, and factors such as the Slate Levy, could still have an influence on the final price structure, which will be announced by the Department of Energy early next week before coming into effect on Wednesday, February 7.
If the above predictions hold true, drivers will now pay R22.52 for a litre of 95 Unleaded at the coast and R23.24 in the inland regions, where 93 Unleaded should rise to around R22.89.
February’s predicted price rises are mostly as a result of higher international oil prices, with the weaker rand only contributing around seven cents to the month’s under-recovery.
After averaging just over $77 per barrel in December, Brent Crude oil prices rose above the $80 mark for a large part of January, peaking at $83.50 late in the month.
According to Reuters, oil prices rallied due to a combination of positive economic data out of the US, news of Chinese stimulus and supply concerns surrounding the current tensions in the Middle East.
Oil prices had softened to around $78 at the time of writing on February 2, albeit too late to have a bearing on February’s fuel prices.
Stay tuned to IOL Motoring for the official February petrol and diesel prices when they are announced on February 5.