South African motorists can anticipate some relief in their transport costs as the September 2025 fuel outlook indicates a drop in both petrol and diesel prices. This positive shift is due to favourable exchange rates and lower international oil prices, which have created an over-recovery in the basic fuel price.
According to the latest Daily Fuel Price Report (26 August 2025) from the Central Energy Fund (CEF), the combination of a stronger rand and declining international oil prices is driving the positive outlook.
The CEF data showed that diesel is set for a substantial price cut. Current mid-month projections indicate the following potential decreases:
· Petrol 93: decrease of 12 – 14 cents per litre
· Petrol 95: decrease of 4 – 6 cents per litre
· Diesel 0.05% (wholesale): decrease of 51 – 54 cents per litre
· Diesel 0.005% (wholesale): decrease of 52 – 55 cents per litre
· Illuminating Paraffin: decrease of approx. 37 cents per litre
Track the daily basic fuel price as it develops here.
Market forces behind the oositive outlook
The favourable September 2025 fuel outlook is largely due to a stronger rand, recorded at R17.65 to the US dollar on August 26, and lower international product prices, with Brent Crude oil stabilising around $67.01 a barrel.
“The projections stem from an improved position at the beginning of August when the rand/dollar exchange rate was still in the red, undercutting the drop in global oil prices,” analysts noted.
A welcome reprieve for consumers
This anticipated decrease marks a positive shift after a volatile few months. Motorists faced a steep hike in July, which followed a small drop in June and a mixed bag of adjustments in May. The August prices also brought a split adjustment, making a broad September decrease highly anticipated.
While the decrease for petrol may be minimal, consumers will welcome the relief. The significant projected drop for diesel, a major input cost for the economy, will be a positive development for businesses and commuters alike.
This financial relief for motorists aligns with other positive economic news, including the potential for another interest rate cut, which would further ease pressure on household budgets.
The Department of Mineral Resources and Energy (DMRE) will make a final determination by the end of the month. The new prices will take effect at midnight on Tuesday, September 2, 2025.
Go easy on the accelerator until then, Mzansi!
