LOWER international product prices and a slightly firmer rand could result in the retail petrol price falling by 22c a litre on November 6‚ according to data released by the Central Energy Fund yesterday.
The daily over-recovery on Monday was 22.908c/l‚ while the average for the period September 27 to Monday was an over-recovery of 20.661c/l.
An over-recovery means the basic petrol price‚ based on the daily product price and exchange rate‚ is less than the basic fuel price used in the calculation of the monthly retail petrol price.
It implies that the petrol price will most probably be decreased at the next monthly price adjustment. However‚ the government may introduce a new levy or raise either the wholesale or retail margin.
The retail petrol price is adjusted monthly on the first Wednesday of the month in accordance with the previous averaging period's over- or under- recovery.
A price announcement is due on November 1.
The wholesale diesel (0.05% sulphur) price could drop by 10c/litre. – BDlive