Fuel prices: September may bring more good news

FUEL prices in South Africa are set to drop for the fourth consecutive month, the Automobile Association (AA) announced in a media release on Friday morning.Decreases are expected across the board, based on unaudited mid-month data from the Central Energy Fund.“Petrol, diesel and illuminating paraffin will cost less in September than at any other time this year,” the AA notes.The current data indicates that 95 octane petrol may decrease by around 68c per litre, while 93 octane petrol will cost 63c per litre less.Diesel is set to be around 52 cents per litre cheaper.“These decreases, if materialised, will bring the price of fuel to levels seen at the beginning of the year and will come at a critical time for South Africans who have had to dig deeper into their pockets to fill up their vehicles and food trolleys,” says the AA.According to the CEF’s data, lower on average international product prices are the main driver behind the potential price drops in September, boosted by the average appreciation of the rand against the dollar.“Lower stable fuel prices play a crucial role in the decrease of inflation and the price of goods and services. It would benefit the economy if the fuel price decrease trajectory continued for longer.”Officially adjusted fuel prices come into effect on Wednesday, 4 September. An announcement on the official adjustment is announced by the Department of Energy. – monetweb.co.za