New year relief for motorists as fuel prices drop
Zuko Komisa
- Fuel prices will drop significantly on Wednesday, 7 January 2026, with petrol falling by up to 66c and diesel by 150c per litre.
- The reductions are driven by a stronger Rand and a decline in international crude oil prices, which traded as low as $58 per barrel in December.
- New quarterly octane differentials also take effect this week, resulting in varied retail pricing across different fuel zones.
Drivers are set for a boost at the pumps this January as the Department of Petroleum and Mineral Resources announced significant reductions in petrol and diesel prices, effective Wednesday, 7 January 2026.
The price cuts are attributed to a stronger Rand and a dip in global oil prices.
Over the December period, crude oil traded lower between $58 and $63 per barrel.
Simultaneously, the Rand appreciated against the US Dollar, improving from R17.23 to R16.84, which lowered the Basic Fuel Price contribution.
The following decreases will be implemented this week:
- Petrol 95: Decrease of 66c per litre
- Petrol 93: Decrease of 62c per litre
- Diesel 0.005% (wholesale): Decrease of 150c per litre
- Diesel 0.05% (wholesale): Decrease of 137c per litre
In addition to these cuts, the quarterly adjustment of the octane differential between 93 and 95 petrol takes effect this Wednesday.
While the adjustments provide immediate relief, the department noted that the lower costs are a direct result of the “over-recovery” seen during the final weeks of 2025.
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