Motoring
South Africa Braces for Petrol Price Increase in May
The petrol price in May is predicted to add insult to injury for South African motorists, as oil prices are on the rise, cancelling out some of the recent rand strength.
Per BusinessTech, recent figures from the Central Energy Fund (CEF) suggest that under-recovery continues at 30 cents per litre, which indicates that the consumer may face a fourth consecutive increase in the energy price next month.
Nevertheless, diesel prices still demonstrate the best possible recovery condition, showing an over-recovery of about 35 cents per litre.
Also read: Anticipated Rise in Petrol and Diesel Prices Expected Next Month
Since the beginning of the year, petrol prices have gone up R1.80, while diesel is the only type of fuel that has increased by 61 cents.
The oil market has seen prices rapidly rise as geopolitical tensions have grown in the Middle East, with OTC topping $90 a barrel.
The geopolitical uncertainty around Russia and Ukraine, besides the OPEC+ supply cuts, has also firmed the oil price higher.
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Picture: Pixabay / IADE-Michoko
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