Godongwana set to reveal fuel levy extension as Middle East tensions persist

Finance Minister Enoch Godongwana has indicated that he will announce next week
whether the fuel levy relief will be extended, as tensions in the Middle East continue to
impact costs.
This follows a call from Build One South Africa leader and Standing Committee on
Appropriations chairperson Mmusi Maimane, who urged the minister to prolong the R3
fuel levy reduction.
Godongwana had previously introduced the temporary cut from April 1 to May 5, noting
that the measure would be reviewed on a monthly basis over the next two months.
During a debate on the Division of Revenue Bill on Tuesday evening, Maimane
expressed appreciation for the relief, saying it responded to public pressure, but
appealed for further assistance in light of ongoing global instability.
He also referenced comments by SARS Commissioner Edward Kieswetter, who
reported that the revenue service had collected R2 trillion, exceeding expectations.
Maimane argued that if government finances allow, more should be done to support
struggling citizens.
In response, Godongwana pointed out that while revenue stood at R2 trillion,
government spending had reached R2.43 trillion, leaving a shortfall of about R400
billion. He added that debt servicing costs are of a similar size, meaning the country
needs to borrow roughly R800 billion.
Despite this, the minister said he is carefully considering the possibility of extending the
fuel levy relief. He confirmed that a decision would be made after consultations with
Mineral and Petroleum Resources Minister Gwede Mantashe, with an announcement
expected on Tuesday, April 28.
When the reduction was first introduced, both ministers said work was ongoing to
review fuel pricing in the medium term, alongside broader measures aimed at
supporting households and key sectors of the economy, with further details to be shared
later.