Big fuel price increase likely in April

IOL mot Mar18 petrol price . File photo: Neil Baynes / Independent Media.

South Africa's petrol price is likely to increase by around 60 cents a litre in April, while diesel could rise by almost R1.

According to the Automobile Association (AA), mid-month data released by the Central Energy Fund shows that the basic price of petrol is likely to rise by between 31 and 35 cents a litre, while the diesel price looks set to increase by around 60 cents. On top of that, the government's Fuel Levy is set to increase by 30 cents a litre from the beginning of April, meaning that diesel could go up by almost R1 a litre.

Commenting on the mid-month data, the AA said that gains in the international oil prices were the biggest factor at play.

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At the time of writing, oil was trading at $42.16, up from its lows of around $30 at the beginning of this year.

"Although the average rand/US dollar exchange rate has continued to retreat since the beginning of the month, this positive factor has been overcome by the renewed uptick in oil prices," the AA said.

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