Risks of further fuel price increases on the cards

Risks of further fuel price increases loom as early data from the Central Energy Fund suggests a potential rise of up to five rand per litre for petrol next month. South Africans are adjusting to the recent fuel price hike that came into effect on October 7, pushing petrol and diesel to unprecedented levels. The Automobile Association of South Africa (AA) has strongly criticized this latest increase, stating it is disheartening to witness the rapid surge in petrol prices alongside the forecast of additional hikes.

AA CEO Bobby Ramagwede expressed disappointment over the government's lack of effort to shield motorists and consumers from these shocks. Despite taxes accounting for a significant portion (R7/R8) of the fuel price, Ramagwede believes the government could hold back these funds until global oil prices stabilize, potentially offering relief to consumers.