Ongoing declines in the price of oil since the second week of the year will give South African fuel users a breather for February…

This is according to the Automobile Association (AA), which was commenting on unaudited month-end fuel price data released by the Central Energy Fund.

“Rising tensions between the USA and Iran in the opening days of 2020 sparked a sharp increase in international oil prices, but the commodity has rebounded quickly. In fact, the oil price has returned to a level we might have expected had the US-Iran flare-up not taken place at all,” the AA says.

Oil has dipped to its lowest level since the start of December. However, the Rand/US dollar exchange rate is steadily moving in the opposite direction, with the Rand having softened from its January 1 level of around R14.05 to the dollar to its current average of R14.30.

“We have some concerns over this ongoing weakening in the absence of any overt Rand shocks,” the AA says. “It is not a good sign of confidence in the SA economy.”

Subscribe to our Free Daily All4Women Newsletter to enter

Despite the Rand’s trend, all fuel types are set for a decrease at month end

95 Octane petrol will drop by around 13 cents a litre, with the other reductions marginal: 93 Octane petrol and both grades of diesel by four cents, and illuminating paraffin by three cents.

“We’re pleased fuel prices have managed to tread water at the start of a year, a year which is likely to again be extremely economically challenging,” the AA concludes.

Accommodation offers from

20,000 listings in 2,000 locations with 10,000 reviews.

18% DISCOUNT – From R1222 p/night

Hudsons on Twelfth

Rivonia, Gauteng

Valid until April 30 2020

66% DISCOUNT – From R1440 R518 p/night

Silver Forest Boutique Lodge and Spa

Helderberg, Somerset West

For stays between 1 Jul & 30 Sep 2020

35% DISCOUNT – From R1524 p/night

The Atrium 30

Durban, KwaZulu-Natal

Valid until April 30 2020