May’s fuel price hike set to bring devastating knock-on effects for consumers

As South Africa braces for another fuel price surge taking effect on Wednesday, 6 May 2026, Stephen Grootes hosts Kevin Lings, Chief Economist at STANLIB, to outline the economic implications of this increase. 

Listen to the full interview on the audio player above. 

Earlier today, the South African government announced that the petrol price will increase by R3.27 per litre, while diesel faces a R6.19 jump per litre, driven by global oil volatility.

Lings warns that rising energy costs could lead to a major systemic shock, since surging diesel prices directly increase costs for agriculture and transport, driving the average inflation forecast upwards for 2026. "We are set for an awkward phase of inflation," he says 

A riskier situation awaits as the National Treasury’s temporary fuel levy relief concludes in July, leaving consumers fully exposed to high international oil prices and domestic taxes. Lings highlights that this lack of protection, combined with rising transportation costs from high diesel prices, will likely heighten food inflation and stifle economic growth.

“Clearly, if you get further increases, even if it's due to clawing back the fuel levy, it will just exacerbate that. So yes, it’s going to push inflation even higher. Then how much of that is going to show up in wage demand and food prices?” - Kevin Lings, Chief Economist at Stanlib

Scroll up to the audio player to listen to the full interview on The Money Show, brought to you by Absa CIB.