Price of petrol set to dip in December, diesel to rise

South African motorists can expect a mixed bag of fuel price adjustments in December.

The Automobile Association (AA) said unaudited data from the Central Energy Fund (CEF) indicates a slight reduction in petrol prices, and more substantial increases to diesel and illuminating paraffin prices.

Based on the CEF’s data, the price of ULP95 is expected to reduce by about 5c/l, while ULP93 is set for a reduction of about 16c/l. The price of diesel is expected to increase by between 40c/l and 38c/l, while illuminating paraffin will increase by about 39c/l.

“Although the rand/US dollar exchange rate was stable in the first two weeks in the period under review, the rand weakened slightly against the USD after the US presidential elections, resulting in a less substantial decrease for all grades of petrol. International petrol prices have been declining for a while, hence the expected decrease in petrol prices in December, but diesel prices continue to move in the opposite direction,” said the AA.

The association said it is important to remember this is mid-month data and the price outlook may change over the next two weeks before the official December adjustment is made. The official fuel price adjustments for December are likely to be announced at the end of November, with the official adjusted fuel prices coming into effect on December 4.

The AA said: “Planning for a long journey during the December/January break should begin now and should include a complete once-over of your vehicle to ensure it is ready for a long trip. In addition to keeping your vehicle in good condition, we also urge all road users to ensure their state of mind is equally ready to share the road with other road users and to play their part in keeping our roads safe this festive season.”