Economy

SA opposition heads to court to challenge proposed fuel levy increase

Date: Jun 2, 2025

The Western Cape High Court in South Africa (SA) will hear an urgent court application brought by the opposition party, Economic Freedom Fighters (EFF) on the general fuel levy increase.

Finance Minister, Enoch Godongwana, announced a general fuel levy increase of 15 and 16 cents per litre for diesel and petrol, respectively when he tabled 2025 budget in Parliament for the third time last month.

The general fuel levy increase is expected to come into effect on the fourth of June.

The EFF filed its papers last week arguing that the implementation of the fuel levy increase will be economically harmful.

Experts are warning of looming inflationary pressures as the Godongwana ditched Value Added Tax increase for an increase in Fuel levies.

These changes will result in an increase in the general fuel levy for petrol and diesel.

--SABC--

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