{"id":870551,"date":"2026-08-17T14:30:00","date_gmt":"2026-08-17T12:30:00","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=870551"},"modified":"2026-08-17T14:17:31","modified_gmt":"2026-08-17T12:17:31","slug":"petrol-price-slate-levy-changes-for-south-africa-are-coming","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/energy\/870551\/petrol-price-slate-levy-changes-for-south-africa-are-coming\/","title":{"rendered":"Petrol price slate levy changes for South Africa are coming"},"content":{"rendered":"\n

The Department of Mineral and Petroleum Resources has gazetted a proposed change to South Africa’s slate levy procedures, which will allow importers to keep part of the tax when global prices fluctuate.<\/p>\n\n\n\n

The proposed change will not affect the pump prices motorists pay or the slate levy itself, but should protect importers and wholesalers during market turbulence, as seen in 2026.<\/p>\n\n\n\n

South Africa’s fuel prices are set only once a month by the department, based on international oil prices and the rand-dollar exchange rate.<\/p>\n\n\n\n

However, these prices fluctuate daily, leading to a gap between what fuel companies pay to import fuel and what they charge motorists at the pump.<\/p>\n\n\n\n

This daily change is tracked by the Central Energy Fund through its recovery data.<\/p>\n\n\n\n

When fuel companies pay more to import fuel than they charge at retail, this results in a temporary loss, recorded as an under-recovery. <\/p>\n\n\n\n

When the inverse happens, there is a temporary gain, or an over-recovery.<\/p>\n\n\n\n

The government tracks these cumulative losses and gains across the industry in the slate account. When the account shows a significant deficit, an extra tax\u2014the slate levy\u2014is added to prices.<\/p>\n\n\n\n

The levy itself is collected by the CEF to reimburse wholesalers and importers for the temporary losses.<\/p>\n\n\n\n

In a new gazette, the department now proposes a rule change allowing these companies to conditionally retain the slate levy collected from consumers, rather than paying it to the CEF.<\/p>\n\n\n\n

This would only be the case where such an importer or wholesaler has a cumulative negative balance that exceeds the reimbursement threshold set by the department.<\/p>\n\n\n\n

The retained funds would then count as partial reimbursement for the verified under-recovery losses.<\/p>\n\n\n\n

From an oversight perspective, the companies would still have to comply with all CEF reporting, reconciliation, and audit requirements.<\/p>\n\n\n\n

Further, the retention would have to stop once the under-recovery balance drops below R500 million (or an earlier date set by the Minister).<\/p>\n\n\n\n

The CEF would still be tasked with tracking all records to ensure that all retained funds match verified losses.<\/p>\n\n\n\n

The changes would also allow the Minister to make any other additional changes and measures necessary for the implementation and monitoring of the temporary arrangement.<\/p>\n\n\n\n

Broadly, the proposed changes are administrative in nature and would move to cut out admin and long waits for reimbursement during times of severe deficits.<\/p>\n\n\n\n

Petrol price fluctuations<\/h2>\n\n\n\n
\"\"<\/a><\/figure>\n\n\n\n

The proposed changes come in the context of the surge of oil prices in 2026, following the United States’ war in Iran.<\/p>\n\n\n\n

The conflict, which began on 28 February, saw global oil prices shoot up to over $120 a barrel, leading to fuel price surges worldwide.<\/p>\n\n\n\n

In South Africa, petrol and diesel prices saw R5 and R10 shocks in April, prompting the government to step in.<\/p>\n\n\n\n

At the time, the National Treasury cut R3 in fuel taxes from pump prices to spare motorists the worst of it. However, prices continued to surge in May.<\/p>\n\n\n\n

In June, the taxes were partially reinstated, cutting the benefit of stabilising oil prices. In July, the full tax cut was terminated.<\/p>\n\n\n\n

While fuel prices appeared to be on a downward trajectory, the conflict flared again in mid-July, leading to another diesel price hike in August.<\/p>\n\n\n\n

For petrol, the easing of the slate levy in the preceding months helped push prices into a relatively small cut\u2014but current recoveries show a bleak picture is building once again for September.<\/p>\n\n\n\n

At mid-month, petrol prices are building for a 77-cent-per-litre hike in September, while diesel could climb by another R2.90.<\/p>\n\n\n\n

To underline the severe impact of the war and rocketing global oil prices, the current recovery levels would see petrol being R6.25 more expensive than before the war.<\/p>\n\n\n\n

Diesel would be R11.35 higher than in February.<\/p>\n\n\n\n

During these months of surges and swings, fuel importers and wholesalers would be left footing the bill, waiting for the CEF to reimburse them from the slate account.<\/p>\n\n\n\n

With the proposed changes, they would be able to retain some of those funds to ease that burden.<\/p>\n\n\n\n

Post-Iran War price adjustments<\/h2>\n\n\n\n
Month<\/th>Petrol 95<\/th>Diesel 0.005%<\/th><\/tr><\/thead>
March<\/td>+R0.20<\/mark><\/td>+R0.65<\/mark><\/td><\/tr>
April<\/td>+R3.06<\/mark><\/td>+R7.51<\/mark><\/td><\/tr>
May<\/td>+R3.27<\/mark><\/td>+R5.27<\/mark><\/td><\/tr>
June<\/td>+R1.43<\/mark><\/td>-R2.62<\/mark><\/td><\/tr>
July<\/td>-R1.96<\/mark><\/td>-R3.59<\/mark><\/td><\/tr>
August<\/td>-R0.52<\/mark><\/td>+R1.23<\/mark><\/td><\/tr>
Total difference<\/strong><\/td>+R5.48<\/strong><\/td>+R8.45<\/strong><\/td><\/tr>
September (current recovery)<\/em><\/td>+R0.77<\/em><\/mark><\/td>+R2.90<\/em><\/mark><\/td><\/tr>
Projected difference<\/em><\/strong><\/td>+R6.25<\/em><\/strong><\/td>+R11.35<\/em><\/strong><\/td><\/tr><\/tbody><\/table><\/div><\/figure>\n\n\n\n
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The full gazette can be read below:<\/p>\n\n\n\n