The South African government has extended its temporary fuel levy relief measures to help households and businesses cope with rising fuel prices linked to the ongoing Middle East conflict. The National Treasury and the Department of Mineral and Petroleum Resources confirmed that the reduction in the general fuel levy, first introduced in April, will remain in effect until the end of June, with planned adjustments before ending in July.
The original relief package, announced on March 31, was introduced to provide “limited short-term relief to households from rising fuel prices following the Middle East conflict.” With international oil prices remaining elevated, government said further intervention had become necessary. According to the National Treasury, the fuel levy relief is designed to be revenue neutral and will be funded through a combination of higher-than-expected tax revenue and underspending.
Fuel Levy Relief Details
Under the revised measures, the R3 per litre fuel levy reduction on petrol will be extended until June 2, 2026. Diesel users will receive even greater relief, with the levy cut increasing by 93 cents to R3.93 per litre from May 6 to June 2, effectively reducing the diesel general fuel levy to zero during that period.
The following are the key relief measures proposed for May and June 2026:
- R3 per litre fuel levy reduction on petrol until June 2, 2026
- R3.93 per litre fuel levy reduction on diesel from May 6 to June 2, 2026
- R1.50 per litre fuel levy reduction on petrol from June 3 to June 30, 2026
- R1.96 per litre fuel levy reduction on diesel from June 3 to June 30, 2026
Impact on Motorists
Government estimates the total cost of the temporary relief measures from April through June at R17.2 billion in foregone tax revenue. However, Treasury stressed that the intervention “is designed to be revenue neutral” and will be funded through “a combination of higher-than-expected tax revenue and underspending,” adding that the package “will not have an impact on the fiscal framework adopted by Parliament following the 2026 Budget.”
For more information on the fuel pricing mechanism, visit the Department of Mineral Resources and Energy website.
