Cape Town – South African motorists could see meaningful fuel price relief in July, as early data from the Central Energy Fund (CEF) shows petrol and diesel prices moving into strong over-recovery territory at the start of June.
The latest indicators suggest significant potential decreases across all fuel types, with petrol 93 and 95 expected to drop by about R2.68 to R2.70 per litre, while diesel could fall by more than R5 per litre if current trends continue.
The improvement is driven by softer international oil prices and a relatively stable rand, supported by easing global geopolitical tensions, including hopes of a truce between the United States and Iran.
However, any relief at the pumps comes amid the final phase of government’s withdrawal of temporary fuel levy relief. National Treasury has already reinstated part of the levy in June and will add a further R1.50 per litre to petrol and about R1.96 per litre to diesel in July.
Despite these increases, current over-recoveries are strong enough to potentially offset the levy hikes and still allow for price cuts, although analysts caution that exchange rates and oil prices could still shift before final adjustments are made.
If conditions remain unchanged, forecasts suggest petrol could drop by around 268 to 270 cents per litre, diesel by 525 to 542 cents per litre, and illuminating paraffin by nearly 600 cents per litre.
The final fuel price adjustments for July 2026 will be confirmed later in the month, with new prices taking effect on 30 June.
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Compiled by Betha Madhomu
