The Central Energy Fund (CEF) has released the forecast fuel prices for April 2022 and there is a massive price increase in all categories. The mid-month data currently indicates an increase of R2.19 – R2.27 per litre for petrol and R3.12 – R3.26 per litre for diesel. The final price adjustments are made by the Department of Energy at the end of the full period.
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The reason for the massive increase in fuel prices is due the Russian invasion of Ukraine and following the Russian sanctions have led to the oil price hitting highs of $120 per barrel.
According to analysis from Bloomberg: “The latest developments to rattle the market are a resurgence of Covid virus cases in China, the world’s biggest crude importer, and what appears to be progress in cease-fire talks between Ukraine and Russia. While there are still concerns that the disruption to Russian oil flows is squeezing an already tight market, OPEC and others have been quick to point out there is no shortage.”