R14-per-litre petrol and diesel plan: What South Africans need to know

Johannesburg – South Africa’s plan to bring petrol and diesel prices down to around R14 a litre remains under review, but the government has yet to confirm whether the target is still achievable as motorists face renewed pressure from rising international oil prices.

According to BusinessTech, the Department of Mineral and Petroleum Resources is continuing its review of the country’s fuel pricing formula, with the process expected to be completed before 31 March 2027.

The review was identified in the department’s 2026/27 Annual Performance Plan as a “critical strategic intervention” aimed at addressing the impact of high fuel prices on households.

Mineral and Petroleum Resources Minister Gwede Mantashe first raised the R14-a-litre figure in 2024, arguing that taxes and other fuel-related charges had significantly increased pump prices.

“Our argument is: you are distorting the price of fuel. Let’s find the formula to separate these things and have the price of fuel visible,” Mantashe said, according to BusinessTech.

Mantashe has specifically pointed to the General Fuel Levy (GFL) and Road Accident Fund (RAF) levy as costs contributing to higher fuel prices.

Different fuel-price environment

MyBroadband reported that the department was still proceeding with the fuel-price formula review, but had not responded to questions about whether the R14 target remained realistic given the sharp changes in global oil prices in 2026.

The department’s review will examine the Regulatory Account System as well as wholesale, retail, storage and distribution margins that contribute to the final fuel price.

Meanwhile, motorists are facing a very different fuel-price environment from the one in which the R14 proposal was made.

BusinessTech reported that international oil prices have risen sharply, with Brent crude approaching $110 a barrel, while a weaker rand has added further pressure to South Africa’s fuel costs. Mid-month Central Energy Fund data pointed to potential increases of around R2 a litre in October if current trends continue.

TopAuto likewise reported that the government’s fuel-price formula review is moving forward, but noted that South Africa is now dealing with fuel prices above R30 a litre amid higher oil prices linked to the conflict in the Middle East.

Substantial reduction 

The R14 proposal would represent a substantial reduction for motorists.

Filling a 60-litre petrol tank at R14 a litre would cost R840, compared with about R1,615 at the September 2026 price.

For a 60-litre diesel tank, the cost would fall from about R1,803 to R840, a difference of roughly R963.

However, the government has not said that motorists will actually pay R14 a litre. The figure remains linked to the broader review of how South Africa calculates and structures fuel prices.