By Anita Dangazele
- Petrol is tracking a drop of more than R2 a litre in July after global oil prices fell sharply, but the fuel levy relief that reduced prices since April ends on 1 July.
- The national minimum wage is R4,836.80 a month but one wage supports four people in the average Black South African household, leaving each person R40 a day.
Petrol is heading down in July. But the government is taking something back on the same day, and for people living on R40 a day, the difference matters.
From 1 July, the fuel tax relief that has kept petrol slightly cheaper since April disappears. Treasury is not extending it. That means the full levy goes back on every litre — R4.10 for petrol, R3.93 for diesel.
On its own, that would push prices up. But global oil prices have dropped sharply this month after the US and Iran reached a peace deal. That sent oil markets down more than 4% in a single day, and South Africa’s fuel price calculation has been tracking lower ever since. Petrol is currently projected to drop by more than R2 a litre in July. The levy coming back will reduce that saving — but most of the cut should still come through.
The official July fuel price will be announced at the end of June.
For commuters and low-income families, even a small drop at the pump only goes so far. The national minimum wage is R4,836.80 a month. A basic food basket for a family of seven in Johannesburg costs R5,811.08, according to the May 2026 Household Affordability Index from the Pietermaritzburg Economic Justice and Dignity Group. That is before rent, transport or school fees.
One wage in a Black South African household supports four people on average. Each person gets R1,209.20 a month. That is R40 a day.
Some food has got cheaper. Rice, potatoes and sugar beans all cost less than a year ago. But frozen chicken, the protein most families depend on, rose from R408.68 to R444.56 for 10kg. Overall consumer inflation hit 4.5% in May, the highest since July 2024, pushed there almost entirely by fuel costs.
The Child Support Grant went up R20 in April to R580. A food basket for a family of four costs more than R5,000.
Pictured above: A commuter at a South African taxi rank.
Image source: Pexels
