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South Africa Feels the Squeeze at the Pump

South Africa’s government is proposing to extend a cut in the general fuel levy until early August to ease pressure on consumers from high domestic fuel prices linked to the Russia-Ukraine conflict. In a joint statement on Tuesday, the National Treasury and Department of Mineral Resources and Energy said the estimated cost of the two-month proposal in foregone revenue was $288.3m. In March, the government announced a temporary reduction in the fuel levy of $0.09 per litre for two months, as fuel and food prices continue to rise. The reduction was due to expire at the end of May. The new proposal is for the reduction to continue from June 1 to July 6, before being lowered to a $0.05 a litre reduction from July 7 to August 2. Starting August 3, the relief would be withdrawn.

SOURCE: AL JAZEERA

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