From DStv to petrol – these are the big price hikes hitting South Africa this week

The 1st of April marks the start of the financial year for many businesses and is historically the date when government institutes a number of new taxes.

While this will mean some good news – including the zero-rating of some items such as sanitary pads and bread flour – the most notable changes are the new increases you can expect to see from this week.

In the public sector this will include new fuel taxes and electricity increases, while in the private sector DStv has also announced price increases.

These price hikes will be particularly hard for some South Africans who are still recovering from the effects of load shedding and a difficult year for the economy.

BusinessTech looked at some of the most notable increases below and how they will impact your finances.

Fuel taxes

On Sunday (31 March), energy minister Jeff Radebe announced the adjustment of fuel prices for April 2019, with motorists to be hit hard as a result of rising global oil prices, a weaker rand and the introduction of new fuel taxes.

“April is an important month in the fuel price calendar to revise road and pipelines tariffs as well as fuel and Road Accident Fund (RAF) levies, to be implemented into the price structures of petrol, diesel and Illuminating paraffin (IP),” the Department of Energy said.

“Their total contributions to the fuel price increase is about 26.00c/l in Gauteng whilst the international factors amounted to about 106.00c/l on petrol and 56.00c/l on diesel and IP,” it said.

The fuel prices for April 2019 will be adjusted as follows in Gauteng:

  • Petrol (93 Octane): R1.34 increase;
  • Petrol (95 Octane): R1.31 increase;
  • Diesel (0.05% sulphur): 81.70 cents;
  • Illuminating Paraffin (wholesale): 63 cents.

The price of 95 unleaded goes up by R1.26 per litre at the coast, while the price of 93 unleaded goes up by R1.29 per litre. Diesel 0.05% increases by 76 cents per litre at the coast.

Here is what you can expect to pay from 3 April:

Fuel March Official April Official
95 Petrol R14.82 R16.13
93 Petrol R14.61 R15.95
0.05% Diesel (wholesale) R14.06 R14.88

Electricity tariff hikes

Energy regulator Nersa granted a price hike for Eskom at the start of March which will allow the power utility to raise its prices by 25% over the next three years.

The first of these increases, coming in at just over 9.4% will come into effect from 1 April.

On top of the price hike, Nersa also previously granted Eskom permission to recover R7.8 billion through a Regulatory Clearing Account (RCA) application, which will see a further 4.4% added to the total over the period.

With the RCA included, the total price hike for electricity from April will see consumers paying just under 14% more for electricity from this month.

This will take the average price of electricity from 93.8 cents per kilowatt hour (kWh) to 106.8 cents per kWh.

Sin and sugar taxes

Government will in the 2019/20 financial year again increase excise duties on alcohol and tobacco in an effort to raise much-needed revenue for the national fiscus, dad finance minister Tito Mboweni during his 2019 budget.

According to the National Treasury’s 2019 Budget Review report, the adjustments will lead to an excise burden slightly above the targeted levels.

Delivering his budget, Mboweni said with a 12 cents increase, there will now be a R1.74 excise duty increase on a can of beer.

Other increases include:

  • A 750ml bottle of wine will have an excise duty of R3.15, which is 22 cents more;
  • The duty on a 750ml bottle of sparkling wine goes up by 84 cents to R10.16;
  • The duty on a bottle of whiskey will go up by R4.54 to R65.84;
  • A pack of 20 cigarettes goes up by R1.14 cents to R16.66; and
  • The excise duty on a typical cigar will go up by about 64 cents to R7.80.

The sugar tax (under the promotion of health levy) will also increase to account for inflation, moving from 2.1 cents per gram in excess of 4 grams of sugar per 100ml,  to 2.21 cents from 1 April 2019.

DStv price hike

MyBroadband reports that MultiChoice has implemented its price hikes for DStv today, 1 April 2019.

The prices of many packages have gone up, except for DStv Premium which has had its price frozen.

“We understand that times are tough in South Africa, and that our customers are under pressure to make every cent they spend count,” said MultiChoice.

The table below details the DStv price changes which will take effect from today.


Read: Here is the official petrol price for April 2019

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From DStv to petrol – these are the big price hikes hitting South Africa this week