Expect to pay as much as R2 per litre more for fuel in April, cautions Efficient Group economist Dawie Roodt.
The Department of Energy will announce the amended fuel prices for April next week on Friday.
Treasury recently announced sharp increases in taxes and the road accident fund levy which will add 81 cents to the cost of a litre of petrol. The rand is also considerably weaker, leading to a sharper increase than would otherwise have been the case.
Roodt expects the rand to continue weakening and the oil price to recover further over the next few months. “I expect oil back at about $75 or $80 in the next few months,” says Roodt.
Listen to the audio for more detail from Roodt.