South Africa's EFF party seeks to block fuel tax increase

On June 3, 2025, South Africa's opposition party, the Economic Freedom Fighters (EFF), filed an urgent application in the Western Cape High Court to block a proposed 4% increase in the fuel levy, set to take effect on June 4. The EFF argued that the increase, amounting to 16 cents per litre for petrol and 15 cents for diesel, was unjust and disproportionately affected the working class and poor, who are already grappling with high living costs and stagnant wages. They also contended that Finance Minister Enoch Godongwana failed to follow proper parliamentary procedures in implementing the levy. cnbcafrica.com+9reuters.com+9hindustantimes.com+9

However, the High Court dismissed the EFF's application, allowing the fuel levy increase to proceed as planned. The court found that the EFF did not demonstrate sufficient urgency or merit for an interdict. Finance Minister Godongwana maintained that he was legally entitled to enact the increase and argued that halting the fuel levy would result in a revenue shortfall of at least 3.5 billion rand ($196 million), necessitating alternative measures such as borrowing or spending cuts. centralnews.co.zareuters.com+1hindustantimes.com+1

The EFF criticized the ruling, stating that it exacerbates economic hardship under the current government. They maintain that the fuel levy hike bypasses necessary parliamentary oversight and disproportionately burdens the poor. centralnews.co.za

This development comes amid broader debates over South Africa's fiscal policies, with the government aiming to demonstrate fiscal responsibility amidst concerns over rising public debt. The fuel levy increase is part of efforts to address a significant revenue shortfall after the government abandoned a plan to raise value-added tax due to political pressure. reuters.com+1apnews.com+1