The latest petrol price predictions foretell a price hike in November

We’re not going to sugarcoat it. South Africa’s petrol, diesel, and paraffin prices are likely to go up as soon as next week Wednesday (06 November). That’s despite the five consecutive petrol and diesel price drops South Africa has been relishing for months, now. It’s not all bad news, however (okay, maybe a little). According to a report from the Central Energy Fund (CEF), the latest predictions expect the increase to come in well under a Rand.

Pouring (more) fuel on the fire

Even so, we’d advise heading down to the nearest petrol station before that happens – again, the increase takes place on 6 November. There’s always the chance that things could turn around before that happens, but we wouldn’t count on it. The CEF, a state-owned energy company reporting directly to the Department of Mineral Resources and Energy (DMRE), has proven itself the most reliable metric when it comes to fuel prices.

It offers daily predictive snapshots by tracking the two largest economic factors affecting South Africa’s fuel prices – namely the price of oil globally, and the current Rand/US Dollar exchange rate. Throughout October, the biggest factor driving the increasing prices is the ever-rising price of oil, while a strong Rand has helped offset an even higher increase. It’s worth noting that it’s not as stable as it was last week.

At the end of any given month, the DRME reviews the daily snapshots throughout the previous month to determine the official price at the pumps. Should the price of oil and the Rand/US Dollar exchange see a resurgence over the coming week, there’s a minute chance motorists could be paying for a smaller increase, rather than the 15-26c increases predicted below.