Cape Town – South Africans are facing steep fuel price hikes from April 1, driven by surging global oil prices linked to ongoing conflict in the Middle East and continued market volatility.
Latest data from the Central Energy Fund points to increases of around R9.86 to R10.00 per litre for diesel, potentially pushing prices above R30 for the first time, while petrol is expected to rise by between R5.24 and R5.76 per litre. Illuminating paraffin could increase by over R11 per litre.
The spike follows a sharp rise in Brent crude oil prices — up about 38% between review periods — with prices recently rebounding above $100 per barrel amid tensions involving Iran and Israel and threats to key supply routes such as the Strait of Hormuz.
Analysts warn that continued attacks on energy infrastructure are fuelling uncertainty in global supply.
South Africa’s position is further strained by a weaker rand, which increases the cost of fuel imports.
Local fuel prices are influenced by global oil prices, the rand-dollar exchange rate, and domestic taxes.
From April, fuel levies will rise by a combined 21 cents per litre, following increases announced by Finance Minister Enoch Godongwana.
Economists warn the hikes will push up transport and logistics costs, feeding into higher prices for food and essential goods and adding pressure on already strained household budgets.
The volatility in oil markets — rather than just high prices — is now seen as the biggest risk, making fuel costs harder to predict and complicating efforts to contain inflation.
While recent dips in oil prices have offered brief relief, analysts say these will have little impact on April’s adjustments, with further instability in global markets likely to keep upward pressure on fuel prices in the weeks ahead.
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Compiled by Betha Madhomu
