Tougher times for motorists

WHILE motorists dodged an increase in the general fuel levy, many are set to fill the pinch of an expected fuel price increase next week.

The petrol price is expected to increase by around R1.20 per litre while diesel is forecast to hike by R1.18 per litre.

This expected fuel hikes follows last week’s increase in toll fees with a return trip from Richards Bay to Durban now set to cost motorists R182 in toll fees alone.

The South African National Roads Agency (Sanral) announced last month that as of 1 March, light motor vehicles will pay R59,00 at the mainline Mtunzini toll, R17,50 at Mvoti plaza and R14,50 at oThongathi.

The double blow for motorists will however be offset by national treasury’s decision not to increase the General Fuel Levy (GFL), and the Road Accident

Fund levy (RAF).

The Automobile Association (AA) said the move not to increase the levies is good news for all already cash-strapped consumers.

“These levies are traditionally increased in February and implemented in April, but the Minister of Finance heeded calls by the AA and in his February Budget Speech indicated that this will not happen again this year.

“Although not a saving as such, any increases would have added additional pressure to fuel prices, and we again welcome his decision not to increase these rates for 2024,” concludes the AA.

Delivering the 2024 Budget, Finance Minister Enoch Godongwana said the government is mindful of the already high cost of living and the impact fuel prices have on food and transport costs.

“In this regard, we are proposing no increases to the general fuel levy for 2024/25. This will result in tax relief of around R4billion.

"This is money back in the pockets of consumers,” said Godongwana.

The AA describes the general fuel levy as a tax charged on every litre of petrol sold while money collected through the RAF Levy portion of every litre of petrol sold is used to fund the Road Accident Fund. This money is used to compensate victims of road accidents.