The organisation says the main driver behind the increases is the movement in international oil prices which have soared to record levels in recent weeks due to the conflict in Ukraine and concerns over Russian oil supplies.The Automobile Association’s Layton Beard says, “If realised month end this will be biggest increases to fuel price in South Africa’s history and will undoubtedly have major ramifications for consumers and the economy in general.
Beard says, “ You must note though that this is the mid-month outlook and oil prices are for the moment see-sawing significantly. So, they may yet be some relief before the official adjustment by the DME is made going into April.”Economist Kulani Siweya says a number of sectors would welcome a possible move by the government to suspend fuel levies amid increases in international oil prices.
In a Parliament briefing, Energy Minister Gwede Mantashe announced that South Africa must find ways of minimising the impact of rising fuel prices on the economy. In the video below, economists expressed concern as International oil prices rose above 130 dollars a barrel earlier this week:
🤬
Saphela
AA must stop these 'predictions', they are giving government hints on how to increase prices. Before AA started these 'predictions' government didn't even know that prices had to be increased
🤬
greed at its best now really unacceptable
🙆🏾♂️🙆🏾♂️🙆🏾♂️🙆🏾♂️🙆🏾♂️🙆🏾♂️