The latest data from the Central Energy Fund (CEF) indicates that South Africa is still on track for massive petrol price hikes next month.
The CEF’s new market snapshot for mid-March shows that South Africa’s fuel prices will experience a significant under-recovery once next month’s adjustments take effect on Wednesday, 1 April 2026.
Petrol is now expected to increase by between R3.87 and R4.27 per litre, while diesel users will take a substantial hit of between R7.04 and R7.15 per litre.
The hikes reflect the deteriorating situation in the Middle East since the start of the war between Iran, the United States and Israel.
These are the CEF’s latest projected fuel prices increases for South Africa next month:
- Petrol 93 – Increase of 387 cents per litre
- Petrol 95 – Increase of 427 cents per litre
- Diesel 0.05% (wholesale) – Increase of 704 cents per litre
- Diesel 0.005% (wholesale) – Increase of 715 cents per litre
On 28 February 2026, the US and Israel launched coordinated attacks against Iran, bombing its capital and killing its former Supreme Leader Ali Khamenei.
Iran responded by launching attacks at the US and its allies across the region, striking military assets in neighouring countries.
The immediate consequence of the conflict has been a surge in global oil prices, which skyrocketed from under $60 per barrel at the start of the year to over $110 in recent weeks.
Oil prices have marginally recovered from this point but are still sitting at just over $100 per barrel.
The market shock of the conflict has been exacerbated by Iran’s recent actions, shutting down the crucial Strait of Hormuz shipping lane.
The war has also put global markets on edge, causing the rand’s value to recede relative to the US dollar.
The rand was in a good position at the start of 2026 with its value dropping under R15 to the dollar, but the exchange rate has since increased to R16.77 per dollar.
This means it is more expensive to purchase and import oil, raising prices even further for end-users.
South Africa raising fuel taxes
Compounding these issues is the fact that the South African government plans to raise fuel taxes next month.
In his 2026 Budget Speech, Enoch Godongwana announced that the General Fuel Levy (GFL), Carbon Fuel Levy, and Road Accident Fund (RAF) Levy will be adjusted this April in line with inflation.
These increases will collectively add 21c per litre to the cost of petrol and diesel.
The GFL will be increased by 9c to R4.10 per litre, while the Carbon Fuel Levy is going up by 5c per litre, and the RAF Levy will go up by 7c to reach R2.25 per litre.
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