Finance Minister Enoch Godongwana will face pressure demanding assistance for households when he presents the Medium-Term Budget Policy Statement in Parliament on Wednesday at 14:00. Political parties argue that a stronger-than-expected revenue collection could help reduce the cost of living.
South Africans are facing high fuel prices, rising costs for food and transport, utilities, and an economy struggling to create jobs. This burden is exacerbated by Middle East instability, which has disrupted oil supplies.
Parties insist that the government consider another reduction in the overall fuel levy. Although a three-month deferral would cost the state billions, it highlights the conflict between immediate relief and funding public obligations.
The organization Rise Mzansi stated that fuel price pressure requires a review of levies. It links global volatility to limited oil supplies amid the US-Iran war and argues that projected tax revenue could allow the Treasury to act.
A representative from Rise Mzansi, Mabin Seabe, noted that 'projected tax revenue exceeding 50 billion rand provides short-term relief but will not solve structural problems.'
'Good Party' also demanded a review, arguing that the overall fuel levy functions as a broad tax rather than a targeted revenue stream. Secretary-General Brett Herron stated that 'all South Africans, not just those driving their cars, are directly affected by fuel prices, whether through increased costs for food and consumer goods or public transport.'
However, the Democratic Alliance (DA) proposed a different path to relief, stating that the funding model for the Road Accident Fund should change. The party believes that reform could lower the pump price by more than 2 rand per liter, although this would require changes in funding.
Herron also called on Godongwana to address income support. The R370 social grant is set to end in March, and 'Good Party' insisted on replacing it with a basic grant. He argued that delays are unacceptable while many households remain below the poverty line.
Godongwana's statement will be closely scrutinized for immediate fuel relief, long-term tax or financial changes, and decisions on income support.