Big petrol price cuts expected next month

South African motorists are set for further relief, with data indicating there will be a fourth consecutive month of petrol price cuts in September.

The Central Energy Fund (CEF), which tracks the price of oil and the dollar-rand exchange rate to forecast fuel prices in the future, expects there to be a significant overrecovery in the prices of petrol and diesel.

This is largely due to a decline in oil prices as fears of an economic slowdown in the US temper demand.

Declining oil prices have been partially offset by a stronger dollar as global uncertainty results in investors turning to the US dollar for safety, strengthening the greenback.

Data from the CEF indicates the following price changes will take effect next month if nothing changes:

*Petrol 93* – decrease of 64 cents per litre
*Petrol 95* – decrease of 68 cents per litre
*Diesel* (0.05%) – decrease of 59 cents per litre
*Diesel* (0.005%) – decrease of 81 cents per litre