The story: Treasury has decided to grant an extension of the reduction in the general fuel levy, which will soften the fuel price hike on Wednesday.

The details: The petrol levy was cut by R1.50 a litre for April and May as government sought to relieve the economic stress of surging fuel prices. Around R6 billion of the state’s strategic oil reserves were sold to fund the levy cut. But the sale will not entirely fund the extension.

What we know: The R1.50 relief will be extended from 1 June until 6 July 2022, followed by a downward adjustment to the relief for the second month – to 75c per litre from 7 July until 2 August.

SOURCE:

Giant fuel price hike avoided as government steps in | News24