The Democratic Alliance (DA) has proposed a 50% cut to both the general fuel levy and the Road Accident Fund levies. The party wrote to President Cyril Ramaphosa and Finance Minister Enoch Godongwana on Wednesday, March 25, 2026. This aims to ease the impact of South Africa’s highest-ever once-off fuel price hikes next month, caused by the US-Israel war on Iran. The move could save drivers R3.00 per litre at the pumps, according to DA statements on the DA fuel levy cut amid fuel price hikes.
The DA wants to cut the general fuel levy and RAF levy in half. Party spokesperson Mark Burke said they sent the letter to key leaders. This would directly lower costs for South Africans. Burke noted short-term funds exist from surpluses in the Compensation Fund and Sector Education Training Authorities, or SETAs.
DA members see this as a fair way to act fast. They stress their role in the Government of National Unity, or GNU, with the ANC. The proposal targets economic pressures right now.
Fuel prices face a record jump due to the US-Israel war on Iran. This comes after Finance Minister Enoch Godongwana raised the general fuel levy by 21 cents per litre in last month’s budget. South Africans deal with higher living costs from inflation and steady salary rises.
The DA views itself as a partner in the GNU. It feels a duty to tackle issues that hurt growth and daily expenses. The party also suggests ghost worker audits and state spending reviews to find extra funds.
These steps would build on their main idea. All remain DA proposals, not set policy.
A cut like this could bring relief to drivers. Fuel price hikes add stress amid rising costs. Burke said resources are there to offset the shock before it fully hits.
The DA stays committed to the current national budget. They do not plan to reject it over this idea.
The party hopes to negotiate with the ANC soon. They aim to add the cut to the Rates Bill in this budget cycle. Burke stated, “If we can avoid this before the full shock goes live, that would be an excellent outcome.”
Burke added the DA wants to intervene on global shocks. No decision has come yet on talks. The outcome of these negotiations stays open.
Conversation
0 Comments