The Department of Mineral and Energy Affairs announced on Tuesday that the retail price of fuel may drop by up to 27 cents a litre.

The Department of Mineral and Energy Affairs announced on Tuesday that the retail price of fuel may drop by up to 27 cents a litre.

In a statement, the Department said it anticipated that the drop, due on August 4, would be 27 cents a litre for all petrol grades, based on currently available information.

Diesel with a 0,3 per cent sulphur content is expected to drop by 14 cents a litre, and diesel with a 0,05 per cent sulphur content by 15 cents a litre, the statement said.

International crude oil prices decreased in the first week of the current review period, but have increased sharply since.

However, the increases were partially cushioned by the stronger value of the rand against the US dollar compared to the previous review period.

Various factors have sparked the drop in the fuel price, following a record high of R4,39 a litre in April.