It’s been a long year financially for most South Africans. 2019 put a lot of people under financial strain and most are relieved that the year has come to an end.
Having experienced six petrol hikes in 2019, motorists are looking forward to the petrol price drop in the first week of January 2020. It was announced that 95 Octane petrol will decrease by 14 cents and 93 Octane will decrease by 4c per liter.
Unfortunately for diesel users, the price will however increase by 9 cents per liter and illuminating paraffin by 5 cents per liter.
According to the Department of Mineral Resources and Energy the reason behind the fuel price decrease is that the Brent crude oil price per barrel had increased. The Rand had also appreciated on average against the US dollar during the period under review.
The CEF said “The average international product prices for petrol had decreased during the period under review while those for diesel and illuminating diesel had increased. This led to a lower contribution to the Basic Fuel Prices on petrol, diesel and illuminating paraffin by 15.70 c/l, 16.78 c/l and 16.64 c/l respectively.”
Motorists are still urged to continue using their money sparingly despite the projected price drop. If you want to see the savings in the long run, and to ensure that you don’t feel that your January is 60 days long.
By Noni Nchwe