Godongwana announces reduction in fuel levy

This would be effective for two months, from next Wednesday to the 31st of May.

"This will reduce the general fuel levy for petrol from R3.85 per litre to R2.35 per litre and reduce the general fuel levy for diesel from R3.70 per litre to R2.20 per litre for two months,” he told MPs.

"These amounts exclude other levies such as the Road Accident Fund levy and the Carbon Fuel levy." 

It's part of interventions that government has been working on to try and bring some relief to consumers following record fuel prices in recent weeks.

Godongwana estimated the partial reduction in the fuel levy will cost around R6 billion for the two-month period.

"The proposed reduction of the general fuel levy will be funded by a liquidation of a portion of the strategic crude oil reserves. In this instance revenue foregone be recouped through a sale of strategic crude oil reserves held by the Strategic Fuel Fund.”