The government confirmed that the full fuel levy will be reinstated from 1 July following the expiry of the temporary fuel levy relief announced by the Minister of Finance
South Africa
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South Africa
Fuel prices drop sharply from July 1 as petrol and diesel become cheaper
South African motorists will pay significantly less for petrol and diesel from 1 July 2026, with fuel prices falling by up to R3.59 per litre despite the reinstatement of full fuel levies.
The Minister of Mineral and Petroleum Resources has announced substantial fuel price reductions that will take effect from Wednesday, 1 July 2026, bringing welcome relief to motorists and businesses across South Africa.
Petrol prices will decrease by R2.01 per litre for 93 unleaded and R1.96 per litre for 95 unleaded. Diesel users will benefit from even larger cuts, with the price of 0.05% sulphur diesel dropping by R3.138 per litre and 0.005% sulphur diesel falling by R3.588 per litre.
The wholesale price of illuminating paraffin will decrease by R5.23 per litre, while the Single Maximum National Retail Price (SMNRP) for illuminating paraffin will decline by R6.97 per litre. Meanwhile, the maximum retail price of LPGas will increase slightly by 16 cents per kilogram, rising by 19 cents per kilogram in the Western Cape.
The department attributed the fuel price reductions primarily to a significant decline in international crude oil prices. The average Brent crude oil price fell from 104.59 US dollars to 86.53 US dollars per barrel during the review period, largely due to improved global supply expectations following the signing of a memorandum of understanding between the United States and Iran.
Lower international petroleum product prices and a stronger rand against the US dollar also contributed to the reductions in the basic fuel price.
Despite the sharp decreases, government confirmed that the full fuel levy will be reinstated from 1 July following the expiry of the temporary fuel levy relief announced by the Minister of Finance. Petrol will once again attract a fuel levy of 429 cents per litre, while diesel will carry a levy of 416 cents per litre.
The slate levy, used to recover under-recoveries in the fuel pricing system, has also been reduced from 157.74 cents per litre to 113.94 cents per litre, helping to offset some of the impact of the restored fuel levies.
In addition, the department announced quarterly adjustments to the price differential between 95 and 93 octane petrol, meaning retail prices for the two grades will vary across different fuel-pricing zones from July.
The official fuel price schedule for all Magisterial District Zones was set to be published on 30 June 2026, ahead of the new prices taking effect.
