South Africans are set to feel the pinch as the fuel price increase for May has been announced, with diesel prices rising by 526.7 cents per litre. This is despite an initial error by the Department of Mineral and Petroleum Resources (DMPR) that led to a higher increase being announced earlier. The DMPR has since confirmed that the error was due to a decimal mistake relating to the additional temporary tax cut of 93 cents for diesel.
The petrol price increase remains at R3.27 per litre, with the price of 95 Unleaded petrol at the coast set to rise to R25.80 and R26.63 inland. The wholesale price of 50ppm diesel will increase to around R30.62 at the coast and R31.38 in Gauteng, with the retail margin adding a further R2.50 or more, depending on the outlet.
Fuel Price Increases Explained
The May fuel price increases are largely due to rising international product prices, with the rand having a negligible effect of about three to five cents on the pricing structure. The Slate Levy, which compensates fuel companies for price fluctuations, has also contributed to the increase, with a levy of R1.22 per litre imposed.
According to the Department of Mineral Resources and Energy, the cumulative slate reflected a negative balance of R14.17 billion at the end of March 2026. This has led to the significant fuel price increase for May.
Impact on Consumers
South Africans can expect to feel the effects of the fuel price increase, particularly with the temporary fuel tax reprieve set to be wound down in June. The reprieve, which was introduced to mitigate the impact of high fuel prices, will be halved to R1.50 per litre for petrol and R1.96 for diesel before falling away completely in July.
The following are some key points to note about the fuel price increase:
- Diesel price increase: 526.7 cents per litre
- Petrol price increase: R3.27 per litre
- Wholesale price of 50ppm diesel: around R30.62 at the coast and R31.38 in Gauteng
- Retail margin: adding a further R2.50 or more, depending on the outlet
As the fuel price increase takes effect, South Africans can expect to see a significant rise in the cost of living, particularly for those who rely on diesel-powered vehicles. With the ongoing conflict in the Middle East and the potential for further price increases, it remains to be seen how the fuel price will be affected in the coming months.
