The Automobile Association of South Africa (AA) has said that we can expect a drop in prices for both diesel and illuminating paraffin in May 2021, but that petrol may increase.
The comments were made by the AA after the release of the unaudited mid-month fuel price data by the Central Energy Fund.
“Stability on international petroleum markets and a stronger exchange rate have given fuel prices a breather,” said the AA.
As a result, the current data shows that we can expect a significant drop in prices for both diesel and illuminating paraffin.
“Petrol hasn’t fared as well, with a slight increase of six cents a litre predicted,” said the AA.
The expected fuel prices increases for May 2021 are as follows:
- Petrol – Increase of 6 cents per litre
- Diesel – Decrease of 32 cents per litre
- Illuminating paraffin – Decrease of 27 cents per litre
The AA added that an ongoing uptrend for the rand and relatively stable international oil prices have allowed the South African currency to “leverage its recent strength”.
“The exchange rate’s performance is coming very close to nudging petrol into a decline, and if the current trends continue, there may be across-the-board relief from the recent series of price hikes at month-end,” concludes the AA.