Neelam Rahim | neelam@radioislam.co.za

2-minute read
06 February 2024 | 06:32 CAT

Image: News24

Consumers have been warned that they must dig deeper into their pockets for fuel starting at midnight.

According to the data, 93ULP and 95ULP petrol are expected to climb between 64c/l and 66c/l a litre, respectively, while diesel is expected to increase by about 63c/l.

The Automobile Association says the current unaudited fuel data from the Central Energy Fund shows significant increases in all fuel grades.

“The movement in international oil prices is contributing a significant percentage to the increases while the weaker average rand to US dollar exchange is adding an impactful but smaller margin to the expected increases,” said the AA.

The AA said: “The increases to the prices of petrol will have a negative impact on household budgets at this early part of the year while most consumers are recovering from festive season spending and stretched budgets. The cumulative effect on personal finances will be a further reduction of disposable income exacerbated by increases to goods and services which must recoup the higher fuel input costs.”

Layton Beard from the Automobile Association also noted that a decrease in the slate levy should provide some relief, but this is not enough to compensate for the rise in global oil prices.

The AA urges consumers to carefully monitor their fuel use and budget according to the new fuel prices. Motorists should ensure that vehicles are well-maintained and in good mechanical condition if possible. Carefully planning routes and avoiding heavy traffic are some ways to ensure better fuel consumption.

Listen to the full interview on The Daily Round-Up with Muallimah Annisa Essack.