As of tomorrow, March 4, motorists can expect to sigh in relief with the prices of petrol and diesel set to decrease significantly.
With the Department of Energy publishing the fuel price adjustments, motorists will be paying 19 cents per litre less for petrol as of tomorrow. Diesel will see a drop by as much as 54 cents per litre.
The decrease in fuel prices is largely due to the lower cost of international petroleum products.
This, in turn, is largely due to the impact of weak oil prices, due to the fears surrounding the coronavirus and its implications for the global economy.
While motorists can expect to find some relief n the upcoming petrol prices, the price drop was somewhat undercut by a weakening rand, which depreciated against the US dollar.
During the period of January 2020 to 27 February 2020, the average rand/US dollar exchange rate stood at R14.98, compared to the previous R14.33. This led to a higher contribution to the basic fuel prices on petrol, diesel and illuminating paraffin.
However, while petrol prices are set to drop tomorrow, during his budget speech, Finance Minister Tito Mboweni announced that South Africans can expect an increase in the general fuel levy by April.
During his budget speech on Wednesday (26 February), Minister Mbonweni said the general fuel levy will increase by 16 cents a litre for petrol and diesel.
The Road Accident Fund (RAF) levy will also increase by 9 cents a litre for petrol and diesel on 1 April 2020.
With the increase in both the general fuel levy and RAF sure to affect motorists’ pockets, how do you intend to save on travelling costs as of April?
Share your petrol saving techniques with us in the comment section below.
