Fuel Tax Increases Push South Africans Further Into the Cost-of-Living Crisis
Another month, another hit to the wallet.
This time it’s at the fuel pumps.
South Africans are once again being squeezed, with fuel tax increases set to make life even harder for motorists and consumers already stretched to their limit.
From 4 June, you’ll be paying an extra fuel tax of 15 cents per litre for petrol and 16 cents for diesel.
That may sound small but let’s be real, it adds up fast, especially when everything else is already going up too.
Finance Minister Enoch Godongwana made it official during his budget speech on 21 May.
This marks the first time in three years the General Fuel Levy is being hiked.
What’s changing?
- Petrol levy: now R4.01 per litre
- Diesel levy: now R3.85 per litre
- Road Accident Fund levy stays put at R2.18 per litre
- Carbon tax creeps up again with its standard 3 cents per litre
Add it all up and you’re now looking at a whopping taxation of:
- R6.37 per litre for petrol
- R6.24 for diesel
That’s around a third of the pump price, gone before the fuel even hits your tank.
Why it matters
Treasury says the move helps dodge a VAT increase but consumer groups aren’t buying it.
The Automobile Association (AA) gets it though, they know it’s not just about filling your tank, it’s about everything that depends on fuel, food, transport, electricity, jobs, and the list goes on…
"Fuel touches every part of the chain, from farm to shelf," the AA explained.
"When it goes up, everything else follows" and it’s the lowest income households who are hit hardest. They’re already spending big chunks of their income just trying to get to work.
Truckers aren’t happy either
Gavin Kelly from the Road Freight Association didn’t mince his words.
"Logistics companies can’t keep soaking up these costs," he said
"And guess what? 85% of goods in this country move by road"
So, when trucks spend more on fuel the consumer pays more for milk, bread, toilet paper, you name it.
The ripple effect is real
Business Leadership South Africa (BLSA) chimed in too. Sure, the new tax might bring in R3.5 billion, but that doesn’t touch the R4 billion in relief drivers got in previous years.
And the pinch? It’s not hitting big businesses the hardest, it’s the everyday South African consumers already juggling rising electricity bills, food prices that feel like robbery, and not to even mention the high interest rates on bonds and other credit. You guessed it, that monthly budget just got tighter again.
What can you do when your wallet’s running on fumes?
This is where we step in
At Sandton Debt Counselling, we see how rising costs are crushing everyday people.
We hear the panic in their voices, and we know the dread when a debit orders bounces. Believe me when I’m saying, this writer has been there before and, excuse the word, it sucks!
But don’t despair, we’re here to help. Not with empty promises, but with real, legal support.
How we help:
- Lower your monthly repayments without taking on more debt
- Protect your assets from repossession
- Restructure your debt legally through the NCR debt review process
- Give you breathing room to survive the fuel hikes, the food hikes and whatever’s next
Throughout the years we’ve helped thousands of South Africans take back control of their finances.
No judgment, no stress, just clear, practical help from people who actually care.
If you’re choosing between petrol and putting food on the table, let’s talk, because you shouldn’t have to sacrifice your dignity just to get by. Our assessments are free, so you have nothing to lose.
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Times are tough
But you don’t have to face it alone. Sandton Debt Counselling is ready to walk this road with you, fuel tax hikes or not.
Take back control today