PRETORIA – South African motorists are finally seeing some relief at the pumps as fuel prices drop significantly across the board this Wednesday. The Department of Mineral and Petroleum Resources confirmed the adjustments, citing lower global oil prices and a stronger Rand against the US dollar as the primary drivers for the cuts.
Department spokesperson Robert Maake detailed the adjustments, noting that the decreases come just as the short-term fuel levy relief measures—originally introduced by the government in April to cushion consumers from record highs—are expected to be fully phased out effective today, 01 July 2026.
Despite the reinstatement of the full fuel levy, the underlying economics of the fuel price have shifted favorably. Maake explained that the average Brent Crude oil price softened over the review period, coupled with the stronger local currency, allowing for substantial reductions at the wholesale and retail levels.
The Breakdown of Price Adjustments
According to the official announcement, the price cuts are substantial across all major fuel categories. Translating the cent-based adjustments into Rand values, the reductions are as follows:
- Petrol 93 octane will decrease by R2.01 per litre.
- Petrol 95 octane will decrease by R1.96 per litre (196 cents).
- Diesel will see massive cuts, decreasing by R3.138 and R3.588 per litre depending on the sulfur content.
- Illuminating Paraffin will decrease by R5.23 per litre at the wholesale level.
The only fuel product experiencing a price hike is **LP Gas**, where the maximum retail price will increase by 16 cents per kilogram countrywide, and by 19 cents per kilogram in Saldanha in the Western Cape.
Slate Levy Reduction
In a move that further aided the price cuts, the department announced a reduction in the Slate Levy—a mechanism used to adjust for historical under- or over-recoveries in the fuel pricing structure. The Slate Levy will decrease by 43.8 cents per litre, bringing the new rate down to 113.94 cents per litre in both the petrol and diesel price structures.
The phase-out of the temporary fuel levy relief aligns with the earlier announcement by the Minister of Finance. While the removal of the relief mechanism technically adds tax back into the price structure, the sharp decline in basic fuel prices and the Slate Levy reduction have overwhelmingly offset this, resulting in a net decrease for consumers heading into the second half of 2026.
