By: Natasha Archary
With just a few hours to go before the fuel price changes for June, government is yet to announce the exact amount motorists will have to folk out.
Unless there’s intervention from the “powers that be”, South Africans can expect up to a R4/litre hike as of midnight on Tuesday.
Government’s silence on the matter may be interpreted to mean they are heeding the call to extend the fuel levy exemption.
A R4/litre increase will push the price of petrol over the R25/litre and will have adverse knock-on effects of the cost of basic foods.
South Africans are not going to take the increase lightly, having already lashed out at President Cyril Ramaphosa’s cabinet over the 33% tax rate on fuel.
Further increases in fuel will push more companies into a corner with employees and unions who will start demanding more competitive salary increases.
Cash-strapped consumers are barely getting by as it is, and Russia’s invasion of Ukraine is putting further strain on the supply of oil and fuel levies.
Minsiter in the Presidency, Mondlu Gungubele said that the decision will lie with Finance Minister, Enoch Godongwana and the Mineral Resources and Energy Minister, Gwede Mantashe.
“I have no doubt the Minister of Finance will guide us on what measures can be put in place to help us stay afloat. The Finance Minister will be better equipped to tackle the issue of the fuel price levy.”
Meanwhile, the DA has reiterated its demands to the ANC to end the exorbitant taxes on fuel and show some concern to South Africans who will buckle under another increase.
The opposition party is calling for government to:
- Extend the temporary relief on the fuel levy, currently R1.50 per litre;
- Better still, scrap the fuel levy entirely, saving R3.93 per litre;
- Allowing drivers out of the unnecessary R2.18 Road Accident levy; and
- Deregulating the fuel price immediately, so that competition can drive down prices.
More than 70 000 South Africans have signed the DA’s letter to the Ministers of Energy and Finance calling for fuel costs to be slashed.
The question now remains when will government announce the exact fuel price increase?
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