19 July 2022
After much pain at the fuel pumps, there’s a chance that South Africans will finally get a break next month.
According to the latest data from the Central Energy Fund, petrol prices currently look set for cuts of between 53c and 60c per litre, depending on the grade of fuel. Diesel could be reduced by around 28c – if the oil price and rand exchange rate remain at current levels for the rest of the month.
“There figures will likely change, though, as there is still some time to go before the actual adjustment is made,” says Automobile Association (AA) spokesperson Layton Beard.
While the rand crashed through R17/$ for the first time since 2020 last week, Brent crude oil prices have fallen by more than 10% since the start of July. Demand for oil has started to weaken in response to red-hot prices.
Growing fears about a global recession are also weighing on demand. Last week, oil prices dropped below $95 a barrel for the first time since the invasion of Ukraine. In March, oil was close to $130.
Source Fin24
