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Fuel price adjustment fails to deliver meaningful relief as economic pressures mount


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Fuel price adjustment fails to deliver meaningful relief as economic pressures mount

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Fuel price adjustment fails to deliver meaningful relief as economic pressures mount

Fuel price adjustment fails to deliver meaningful relief as economic pressures mount
Photo by Bloomberg

3rd November 2026

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UASA has expressed deep concern that the fuel price adjustment taking effect from midnight provides little meaningful relief for consumers and motorists, who continue to face severe financial strain amid persistently high fuel prices.

The announcement comes at a particularly challenging time for South Africans, ahead of the festive season and against the backdrop of growing economic uncertainty, including the anticipated loss of South Africa's preferential trade access to the United States under the African Growth and Opportunity Act (AGOA).

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While National Treasury's R10 billion relief package, which includes a reduction of the general fuel levy by R1.50 per litre on petrol and R3.00 per litre on diesel, is a welcome intervention, the concurrent increase in the slate levy effectively negates any significant benefit for consumers at the fuel pumps.

UASA is equally concerned about deteriorating global economic conditions and the United States' recent announcement that it intends to remove South Africa from AGOA with effect from 1 January 2027.

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The union warns that several key sectors and industries that rely heavily on AGOA for export opportunities could face serious consequences. These industries support thousands of jobs, and workers are likely to bear the brunt of increased operational costs, reduced competitiveness, and declining market access. Rising fuel, transport and input costs, coupled with the loss of AGOA benefits, could result in reduced working hours, lower incomes and potential retrenchments.

"Workers must not be forced to pay the price for policy failures and international trade tensions," UASA said.

The union is calling on government to urgently review the country's fuel pricing structure and associated levies, and to implement a clear and sustainable plan to protect jobs, support local industry and ease the financial burden on consumers.

UASA believes a one-cent decrease in the petrol price falls far short of what South Africans need, especially when petrol continues to retail at more than R29 per litre and diesel at over R30 per litre. The increase in the prices of illuminating paraffin to R27.22/kg and LPGas to R39.64/kg further compounds the pressure on households already struggling with the rising cost of living.

"As South Africans head into the year-end period, these fuel prices paint a worrying picture of the country's economic reality. Our members, and all South Africans, deserve better."

 

Issued by UASA spokesperson Abigail Moyo

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