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The Bulrushes > News > Finance Minister Extends Short-Term Measures To Address Fuel Price Hikes
News

Finance Minister Extends Short-Term Measures To Address Fuel Price Hikes

The general fuel levy for petrol will remain at R1.10 per litre, and the general fuel levy for diesel will decrease from R0.93 per litre to R0.00 per litre

Staff Writer
Staff Writer
Published: April 28, 2026
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Pretoria – Finance Minister Enoch Godongwana has announced that the R3 per litre reduction in the general fuel levy for petrol is extended until Tuesday, 2 June 2026, while the diesel levy will decrease from R0.93 per litre to R0.00 per litre during that period.

“Given the large expected increases in the price of diesel, the Minister of Finance proposes that the temporary relief for diesel is increased by 93 cents to R3.93 per litre, reducing the levy to zero, from Wednesday, 6 May 2026, to Tuesday, 2 June 2026,” said a joint statement issued by National Treasury and Department of Mineral and Petroleum Resources on Tuesday, 28 April 2026.

“The general fuel levy for petrol will remain at R1.10 per litre, and the general fuel levy for diesel will decrease from R0.93 per litre to R0.00 per litre.

“For the month of June 2026, the Minister of Finance proposes that the level of relief is halved to phase out the relief before July.”

The joint statement added: ”As a result, the amount of relief from the general fuel levy will be reduced to R1.50 per litre for petrol and R1.96 per litre for diesel, effective from Wednesday, 3 June 2026, to Tuesday, 30 June 2026.

“This will increase the general fuel levy for petrol from R1.10 per litre to R2.60 per litre and increase the general fuel levy for diesel from R0.00 per litre to R1.97 per litre.”  

The statement said from 1 July onwards, the general fuel levy for petrol will return to R4.10 per litre, and the general fuel levy for diesel will return to R3.93 per litre.

The estimated cost of the temporary fuel levy relief from April to June 2026 is R17.2 billion in foregone tax revenue.

The fuel levy relief measure is designed to be revenue-neutral and will be funded through a combination of higher-than-expected tax revenue and underspending, and will not have an impact on the fiscal framework adopted by Parliament following the 2026 Budget.

The Department of Mineral and Petroleum Resources said it has initiated a review of the formula, whose conclusion will determine how fuel prices are regulated going forward.

“It should also be noted that, according to the Self-Adjusting Slate mechanism, the under-recovery of importers of petroleum products must also be accommodated, and as such, the Slate levy on petrol and diesel will also be adjusted for the month of May,” the statement said.

Commenting on the extension of the fuel levy relief for another month, GOOD Secretary-General, Brett Herron, said: “While we welcome the ministers’ response to the fuel price crisis, we are concerned about the intention to halve the relief from June 2026.

“There’s no indication that the U.S. war on Iran will be resolved by then or that the price of crude oil will reduce sufficiently to warrant that adjustment to the temporary fuel levy relief.”

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