BOSA leader Mmusi Maimane has challenged government to act as South Africans brace for a sharp increase in petrol and diesel prices.
South Africans will face another sharp fuel price hike at the pumps from Wednesday, 2 September, with petrol rising by R1.34 a litre and diesel by between R2.94 and R3.15 a litre.
Mmusi Maimane’s party, Build One South Africa (BOSA), has called on government to cut fuel levies by R3 a litre to soften the blow on consumers and businesses.
He said government should use the fuel levy as a buffer during periods of sharp international price increases rather than pass the full cost on to motorists.
“Government has a choice. It can collect the full tax burden while households absorb the shock, or it can use the fuel levy as a buffer to protect South Africans from international price volatility,” he said.
The party said the latest increase comes as South Africans already face high food, electricity, transport and housing costs.
It wants Finance Minister Enoch Godongwana to reduce the combined fuel levies by a further R3 a litre.
Fuel prices include several government charges, including the General Fuel Levy, Road Accident Fund levy and carbon fuel levy.
Government has previously reduced the General Fuel Levy to provide temporary relief when international oil prices placed pressure on local fuel costs.
Maimane said a similar intervention was needed now.
“South Africans are already doing everything they can to make their incomes stretch further. Government should be doing the same with taxpayers’ money,” he said.
BOSA warned that the impact would extend beyond motorists.
Higher diesel and petrol prices raise transport and operating costs for businesses, which can feed through to the price of food and other goods.
Commuters may also face higher transport costs as operators absorb the latest increase.
“When petrol and diesel become more expensive, the cost of transporting food and goods rises,” Maimane said.
“Businesses face higher operating costs, commuters pay more to travel, and these costs ultimately find their way into household budgets.”
The party said lower-income households were likely to feel the pressure most and argued that fuel levy relief should form part of a wider strategy to tackle the cost of living.
“South Africans need a government that makes it easier to afford a life, not one that makes every essential more expensive,” Maimane said.
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