South African motorists face a R1.88/l petrol price hike this November

We’re still not over the official fuel price adjustments for October, but the latest petrol price predictions from the Central Energy Fund (CEF) hint at a slightly less incendiary November. There’s still an increase for drivers on the cards, but the hikes aren’t as steep as initially thought — with diesel expecting a R1.25/l hike at the pumps.

Compared to the last round of predictions, it’s quite a drop. The same goes for petrol prices, which were believed to add R2.79/l to the price in November. After the CEF’s latest snapshot (captured 16 October), that figure has fallen greatly, with a more manageable R1.88/l expected. It’ll likely continue to drop in the coming weeks.

Take a hike

Bear in mind that the figures below aren’t the ones you’ll see at the pumps in November. These are estimations by the CEF in conjunction with the Department of Mineral and Petroleum Resources (DMPR). It looks at the economic data responsible for adjusting fuel prices locally to offer insight into the coming adjustments.

The price of petrol, diesel, and paraffin is typically updated on the first Wednesday of any given month. That means Wednesday, 4 November in this case. That still leaves a couple of weeks for things to turn around. And after looking at the predicted adjustments throughout October, it’s certainly headed in a happier direction.

Whether the final outcome will be one we’re exactly happy with remains to be seen. The price of fuel in South Africa is largely decided by the average price of oil globally. The ongoing US-Iran War has greatly increased the price since February this year, leading to petrol facing its highest-ever inland price in SA’s history this month.

Oil prices have consistently hovered around $100/barrel globally, leading to yet another round of increases. The Rand/US Dollar exchange rate plays a smaller role in the monthly adjustments — with weaker rates not helping. There’s still time for things to turn around in the coming weeks, possibly resulting in a smaller price hike.