Best fuel news in months for South Africa’s motorists

South African motorists may finally get some relief at the pumps in July after early fuel price data indicated significant over-recoveries for both petrol and diesel at the start of June.

According to the latest figures from the Central Energy Fund (CEF), fuel prices are currently tracking sizeable decreases despite government plans to reintroduce the final portion of temporary fuel levy relief next month.

Four months of increases

The positive outlook comes after four consecutive months of fuel price increases, offering drivers renewed hope of lower fuel costs in the weeks ahead.

As of 8 June, the CEF’s fuel price projections showed the following over-recoveries:

• Petrol 93: R2.60 per litre
• Petrol 95: R2.60 per litre
• Diesel 0.05%: R4.83 per litre
• Diesel 0.005%: R5.03 per litre
• Illuminating paraffin: R5.61 per litre

Stable rand

The recoveries reflect a more favourable fuel pricing environment driven by softer international oil prices and a relatively stable rand.

Global oil markets have shown signs of improvement since late May, supported by easing geopolitical tensions and growing optimism surrounding a potential long-term truce between the United States and Iran.

The improved sentiment has helped steady crude oil prices after months of volatility.

Although both petrol and diesel ended May in positive territory, only diesel users benefited from lower prices this month.

Fuel levy relief

Petrol price gains were offset by the government’s phased withdrawal of temporary fuel levy relief introduced earlier in the year.

In June, National Treasury reinstated R1.50 per litre to petrol prices and R1.97 per litre to diesel prices.

The final phase of the levy reinstatement is scheduled for July, when a further R1.50 per litre will be added to petrol and R1.96 per litre to diesel.

Despite the upcoming levy increases, current over-recoveries remain strong enough to absorb the additional costs and still leave room for potential fuel price cuts if current market conditions persist.

However, analysts have cautioned that it remains too early to accurately predict July’s official fuel price adjustments.

Fuel prices are influenced by several factors, including international oil prices and currency movements, both of which can change significantly before the end of the month.

For now, the early June data has raised hopes that South African motorists could finally see meaningful relief after months of rising fuel costs.

Latest forecast

Below, the latest projections for July 2026 as received by The South African website from the Central Energy Fund (CEF):

If the market conditions were to remain consistent for the remainder of the month – an unlikely scenario with the rand/dollar exchange rate fluctuating and the oil price ever changing – a decrease of 260 cents per litre is expected for petrol 93 octane motorists and a decrease of 260 cents as well for 95 users is anticipated.

Meanwhile, diesel motorists would see something between a 483 and 503 cents per litre decrease.

Finally, illuminating paraffin is expected to drop by 561 cents in price.

FUEL PRICE IN SOUTH AFRICA IMPACTED BY TWO MAIN FACTORS:

1. The international price of petroleum products, driven mainly by oil prices

2. The rand/dollar exchange rate used in the purchase of these products

Oil price

At the time of publishing the brent crude oil price is $92.47 a barrel.

Exchange rate

At the time of publishing the rand/dollar exchange rate is R16.46/$.

The final overall price changes for both petrol and diesel will be confirmed later in the month with the new prices taking effect at midnight on Tuesday, 30 June.

Current June 2026 petrol and diesel prices (Inland and Coastal):