Cape Town – South African motorists will see slight changes in fuel prices from Wednesday, 4 June, as the government implements an inflation-based increase to the General Fuel Levy (GFL).
Petrol tax rises by 16 cents per litre and diesel by 15 cents, pushing the total tax on petrol to R6.37 per litre, including other levies.
Despite this, over-recovery trends suggest small decreases in fuel prices, according to the latest figures from the Central Energy Fund (CEF).
-
Petrol 93: Down by 4 cents
-
Petrol 95: Down by 3 cents
-
Diesel 0.05%: Down by 33 cents
-
Diesel 0.005%: Down by 34 cents
-
Paraffin: Down by 52 cents
The increases follow Finance Minister Enoch Godongwana’s third Budget Speech, where he opted for the levy hike instead of the earlier proposed 1% VAT increase, which was dropped due to political pressure.
Treasury now faces a R61.9 billion funding shortfall over the next three years.
KPMG’s Frank Blackmore notes the 4% increase in the fuel levy is more inflationary than the scrapped VAT hike.
Follow African Insider on Facebook, Twitter and Instagram
Picture: Pixabay
For more African news, visit Africaninsider.com
Compiled by Betha Madhomu
