AA warns petrol could rise by R4.58 a litre in November: Calls for R3-a-litre tax cut

The Automobile Association (AA) is warning that petrol prices in South Africa could rise by up to R4.58 per litre in November, following the implementation of fuel price increases on October 7 which pushed petrol and diesel to record highs. The AA has called for a R3-a-litre reduction in fuel levies to alleviate pressure on households, businesses, and public transport users.

The organisation's chief executive, Bobby Ramagwede, expressed concern over the Road Accident Fund's (RAF) financial position, which has requested a levy increase to R3 per litre, following a R2.25 cent increase in April. The AA argues that raising the levy would further strain consumers already facing rising living costs, inflation, and interest rates.

The National Treasury's temporary fuel levy relief of R3 per litre in April, costing approximately R17 billion, should be part of a long-term strategy to protect consumers. The AA also highlighted the need for the government to reduce the fuel levy and rebuild strategic fuel reserves to protect against international supply disruptions.

Employers are urged to review transport allowances and consider remote working where possible to reduce commuting costs.