Fuel price relief short‑lived as levy cut ends, motorists brace for fresh pain at pumps
· Citizen
Relief may be on the horizon for South African motorists in fuel price recoveries, but any gains will be short‑lived as the government’s temporary levy cut expires, threatening to wipe out the benefit at the pumps.
South Africa has been navigating a tough fuel price market, which has affected businesses, motorists, airlines, and the taxi industry.
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Recoveries
According to mid-month data from the Central Energy Fund (CEF), fuel prices have been relatively stable over the past two months, following extreme volatility.
The CEF data show that petrol price recoveries have moved to a relatively neutral position on the back of a resilient rand, while oil prices are trading within a narrower range, albeit firmly above $100 a barrel.
Positivity
Because of this stability, the CEF’s data show recoveries for 93 octane petrol at 19 cents and 95 octane petrol at 13 cents per litre, which is a far cry from the massive increase in April and May 2026.
Diesel is showing a more positive recovery of R4.41 per litre for 0.05% (500 ppm) diesel and R3.52 per litre for 0.005% (50 ppm) diesel compared to the pain of R13 per litre hike over the past two months.
Recoveries on illuminating paraffin are now R4.37 per litre.
Fuel Price
If these forecasts remain unchanged, motorists will see the following fuel price increases in June 2026- Octane 93 petrol: Increase of 13 cents per litre;
- Octane 95 petrol: Increase of 19 cents per litre;
- Diesel 0.05%: decrease of R4.41 per litre;
- Diesel 0.005%: Decrease of R3.52 per litre, and
- Illuminating paraffin: Decrease of R4.37 per litre.
Goodbye relief
While mid-month suggests a much-needed drop in diesel prices for June, this doesn’t account for a partial reintroduction of the fuel levy.
The amount of relief from the general fuel levy, offered by the government as a result of geopolitical tensions, 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.
From 1 July, the general fuel levy for petrol will return to R4.10 per litre, and for diesel to R3.93 per litre.
Transnet
Meanwhile, record diesel prices seen in May are expected to cause waves in the shipping sector, as Transnet Port Terminals (TPT) updates its fuel neutrality charge at container terminals that use diesel-dependent equipment to handle South Africa’s import and export cargo.
The revised charge of R78 per container will take effect from 1 June, up from R52 introduced earlier this month, to help recover fuel-related operating costs.