South Africans welcome fuel relief extension amid ongoing cost pressures

Johannesburg, April 30 (SocialNews.XYZ) The South African government's decision to extend its temporary fuel levy relief has drawn a positive, albeit cautious, reaction from the public.

Many have seen the measure as much-needed "breathing room" amidst persistent cost-of-living pressures.

Earlier this week, the National Treasury and the Department of Mineral and Petroleum Resources confirmed that the temporary three rand (about 0.18 US dollars) per litre reduction in the general fuel levy for petrol will remain in place through June, reports Xinhua news agency.

For many motorists in Johannesburg, the most populous city in South Africa, the extension is a welcome reprieve.

Bhambatha Nkqayi, a ride-hailing driver, said fuel is one of his biggest monthly expenses. "This relief doesn't solve everything, but it helps me keep my business running and still earn an income."

Lerato Mokoena, a retail worker from Soweto who commutes nearly 30 km to the Glen Shopping Centre, said that taxi fares usually rise quickly when fuel prices increase. "If this prevents another increase, even for a few weeks, it makes a difference for people like us."

"Fuel is a major cost in my business, especially with daily deliveries," said Xolani Bheshunga, who runs a catering service in Randburg. "This gives us breathing space and helps us avoid passing extra costs on to customers."

Economist Raymond Parsons from North-West University Business School said the extension is a "necessary response" to persistent global energy price pressures and rising living costs.

Parsons said the decision is justified on social grounds and supported by available fiscal space, including higher-than-expected tax revenues and planned spending reviews.

Fuel levy relief was first introduced at the end of March to cushion the blow of the rising global oil prices linked to tensions in the Middle East. However, some South Africans caution that the temporary measure does not address deeper structural issues in the energy sector.

Simnikiwe Kanyayi, a student at the University of Johannesburg, said the extension is "necessary but limited."

"It cushions consumers in the short term, especially during global shocks. But South Africa still needs long-term solutions to reduce its dependence on international oil prices, including investment in alternative energy and stronger domestic supply chains," said Kanyayi.

Small business owners, particularly those reliant on transport, echoed similar concerns. Aisha Patel, who runs a delivery service in Alberton, said the uncertainty makes planning difficult.

"We appreciate the extension, but once it ends, we could face another sudden spike. That makes it hard to set prices," Patel said.

Source: IANS