Johannesburg — BAD news for motorists: petrol prices could fall less than the widely expected R1 a litre if the minerals and energy department decides to channel some of the money towards what is known as the slate account.

The slate account is kept in terms of an agreement between the government and suppliers to determine compensation that is payable by the government to the suppliers, or by the suppliers to the government, in respect of losses suffered or profits gained by the suppliers because of fluctuations in the purchase price of petroleum products.

The continued overrecovery on petrol, diesel and paraffin prices has presented the department with a window of opportunity to finance the shortfall in the slate account.

A record of the average overrecovery and underrecovery is kept in the slate account.

The department says that at the end of June motorists "owed" R6,2bn.

Departmental spokesman Bheki Khumalo was noncommittal yesterday about the possibility of the fuel price cut being less than expected.

Khumalo said Minerals and Energy Minister Buyelwa Sonjica would make an announcement about the price adjustments tomorrow.

"Motorists owe petrol companies a lot of money. When there is a big overrecovery it makes sense to strike while the iron is hot," he said.

The department added a 5,4c/l wholesale margin to the price of fuel last month.

Investment Solutions economist Chris Hart said reducing the extent of the decrease in fuel prices to finance the slate account would be cynical. " I will be very disappointed if they take anything from the motorists. I do not think it will be an appropriate thing to do."