After much anticipation and widespread predictions about the upcoming fuel prices, South African motorists can finally breathe a sigh of relief.
The Department of Mineral Resources and Energy (DMRE) has confirmed significant fuel price cuts, effective Wednesday, April 2, 2025.
However, a 3c/litre hike in the carbon fuel levy and annual transport tariff adjustments have tempered the reductions, trimming potential savings for motorists.
Fuel price changes at a glance
Here’s a breakdown of the new prices and decreases:
| Fuel Type | Area | Price Decrease (c/l) | New Price (ZAR/l) |
|---|---|---|---|
| Petrol 95 Unleaded | Inland | 72c | R21.62 |
| Petrol 95 Unleaded | Coastal | 76c | R20.79 |
| Petrol 93 Unleaded | Inland | 58c | R21.51 |
| Petrol 93 Unleaded | Coastal | 58c | R20.72 |
| Diesel 500 ppm | Inland | 83.8c | R19.32 |
| Diesel 50 ppm | Inland | 85.8c | R19.35 |
| Diesel 500 ppm | Coastal | 83.8c | R18.53 |
| Diesel 50 ppm | Coastal | 85.8c | R18.59 |
| Paraffin (Retail) | Nationwide | 81.7c–84c | Decrease |
| LP Gas (per kg) | Nationwide | 78c–79c | Decrease |
Why the cuts?
Lower international oil prices and a stronger rand drove the reductions. Brent crude averaged $71.04/barrel (down from $74.89), while the rand strengthened to R18.30/$ (from R18.50).
The DMRE attributed the cuts to “the continued supply from non-OPEC countries as well as anticipated increase in supply, though moderate, from OPEC+ producers in April 2025” in Official Statement.
Analysts speculate the decrease could have been steeper, but geopolitical disruptions—including US President Donald Trump’s tariff threats on Venezuelan oil imports by the US—briefly pushed global oil prices higher.
The fine print
A 3c/litre hike in the carbon fuel levy (now R3.99/litre for petrol and R3.87/litre for diesel) and annual transport tariff adjustments of up to 7.5c/litre reduced the potential savings for motorists.
DMRE spokesperson Robert Maake confirmed:
“The Minister of Finance [Enoch Godongwana] announced that the carbon fuel levy will increase by 3 cents per litre with effect from 2 April 2025. Therefore, the fuel levies will increase to R3.99 cents per litre and R3.87 cents per litre in the price structure of petrol and diesel, respectively.”
ALSO READ: [Budget Speech 2025 Summary: SRD/SASSA grants, fuel prices, VAT hike]
Road-trip relief?
With Easter getaways on the horizon, the timing of the cuts is fortuitous for holidaymakers. Beyond petrol and diesel, paraffin and LP gas users also benefit:
- Paraffin: Decreases by 81.7c–84c/litre at retail level.
- LP Gas: Maximum retail price drops by 78c–79c per kilogram.
What’s next
Local economists predict further fuel price drops in the coming months, alongside potential interest rate cuts by the South African Reserve Bank. Analysts suggest this trend could ease pressure on household budgets.
