The Organisation Undoing Tax Abuse (OUTA) welcomes government’s decision to reduce the fuel levy by approximately R3 per litre for petrol and close to R4 per litre for diesel. This intervention is both necessary and appropriate in helping to mitigate what would have been a severe price shock on 1 April.
But it came too late.
South Africans and businesses were left in the dark while the scale of the impending increases became clear well before month-end; in fact, it was already becoming apparent by mid-month. With petrol increases projected at around R5 per litre and up to R10 per litre for diesel, there was enough information available for earlier action.
“Government cannot keep reacting at the last minute while households and businesses carry the uncertainty,” says Wayne Duvenage, OUTA CEO. “This relief is welcome, but it should have been communicated earlier to allow people to plan and absorb the impact.”
Earlier intervention would have reduced panic, improved planning, and softened the economic ripple effects already building across transport, food prices, and essential goods.
The relief will still help. It reduces the immediate pressure on already stretched households and limits the knock-on increases in public transport and the cost of basic goods in the coming weeks.
But this is a temporary fix, not a solution.
Government needs to act earlier when fuel pressures are clearly building. Decisions should be communicated at least a week in advance of the next fuel price adjustment on the 6th May, to avoid unnecessary uncertainty and volatility. Transparency on South Africa’s strategic oil reserves must also improve, including current levels, the framework guiding their use, usage policy, and whether these reserves will be used during periods of price pressure.
“There is no justification for keeping the public in the dark on strategic oil reserves,” says Duvenage. “South Africans deserve to know what safeguards are in place and when they will be used to protect the economy.”
The next fuel price adjustment is due on 6 May. Government has an opportunity to restore some confidence by acting decisively and communicating clearly ahead of time.
redneck giorgio
Oscar Pistorius. Not the first South African with a race problem.
Sneakerkid
Interview with a pirate:
There was a pirate who had agreed to do an interview with a local tv station. The reporter was very courteous and professional, giving a bit of background as to the pirate\’s business. She then began interviewing him.
\”So Mr. Longbeard, are there any risks to your business? I see you have a peg leg- how did that come about?\”
\”Well, y\’see I were sailing along the coast of South Africa, looking to plunder some locals when as I boarded the small boat from the ship, a great white shark came up and got my leg clean off. \’twas scary yes, but thus is the life of a pirate.\”
\”Wow, that is pretty scary- well, how about your hook? What happened to your hand with that?\”
\”Oh now that\’s quite the tale, y\’see I were fighting a rival pirate, and we had locked swords. We had been fighting for a few hours, and were both terribly fatigued. I had a bit of exhaustion and confusion, and when I went to block one of his sword blows, I met him with me hand instead of me sword. Took it right off, but it shocked him so much I managed to get him back pretty good and have him submit. So the hook hand was given as a replacement.\”
\”Wow. Simply fascinating. Now, what about your eye patch? How did that happen?\”
\”Well, one day, a seagull was flying overhead, and I looked up. It pooped right in me eye.\”
\”… Well wow. I must admit, I wouldn\’t think just seagull poop could damage the eye that badly.\”
\”Oh, I forgot to mention… it were me first day with the hook.\”