The Road Freight Association (RFA) acknowledges the fuel price adjustments effective 3 June 2026. While the reduction in diesel prices (approx R3.25/l for 0.05% sulphur diesel and R2.62/l for 0.005% sulphur diesel) is a welcome, if partial, reprieve for long-haul freight operators, the RFA notes with concern that petrol prices have increased by R1.43/l across both 93 and 95 octane grades.
Taken together, this is a mixed announcement that deserves closer scrutiny.
Diesel is the lifeblood of the road freight sector, accounting for between 30% and 50% of a typical operator's total cost base. The diesel decrease will provide some relief to operators of heavy commercial vehicles, who have absorbed elevated fuel costs over recent months. However, the petrol increase will be felt across lighter commercial fleets, company vehicles, and critically, by employees whose commuting costs directly influence wage expectations. When household budgets are under pressure from rising petrol prices, the knock-on effects on consumer spending and freight demand are real.
The RFA urges caution on the headline diesel saving, as two structural factors significantly dilute the benefit. The slate levy - a surcharge applied to recover the R18.28 billion cumulative under-recovery in the fuel pricing system, has increased by R0.35/l to R1.58/l, absorbing a meaningful portion of the international price reduction.
Additionally, the general fuel levy relief is being halved to R1.96/l for diesel in June, with full removal expected from July. Together, these factors mean the net benefit to operators, and therefore the reduction on fiscal pressures through the greater economy, is considerably smaller than it first appears.
More broadly, the road freight industry continues to navigate a challenging operating environment. Poor road infrastructure, rising toll costs, skills shortages, and currency volatility all compound the fuel pricing challenge. South Africa's logistics competitiveness and the cost of living for ordinary citizens depends on a stable, predictable, and equitable fuel pricing framework.
The RFA calls on the Department of Mineral and Petroleum Resources and National Treasury to address the growing slate deficit with a credible long-term plan, to manage the withdrawal of fuel levy relief in a structured manner, and to pursue reforms that reduce the sector's vulnerability to external price shocks.
By Gavin Kelly, CEO of the Road Freight Association
