SANTACO holds off on taxi fare hikes as fuel levy cuts offer temporary relief

October 22, 2026 59

Taxi commuters can breathe a sigh of relief for now after the South African National Taxi Council (SANTACO) confirmed that fares will remain unchanged following the government’s latest fuel levy relief measures.

The council on Thursday welcomed Finance Minister, Enoch Godongwana’s, announcement of temporary fuel levy reductions aimed at easing pressure on households and businesses amid soaring fuel costs.

SANTACO said it would maintain current fares while engaging government departments and other stakeholders to explore sustainable, long-term solutions to the rising operating costs.

Earlier this month, the council indicated that it was considering fare increases in response to steep fuel price hikes, but said any decision would follow consultations with government and industry stakeholders.

While the latest intervention offers temporary relief, SANTACO warned that the taxi industry remains vulnerable to fuel price fluctuations, as fuel accounts for a significant share of operators’ daily expenses.

“Short-term interventions alone cannot provide a lasting solution to the structural cost pressures confronting the taxi industry,” the council spokesperson Mmatshikhidi Rebecca Phala said.

SANTACO holds off on taxi fare hikes as fuel levy cuts offer temporary relief Realeboga Nke

Godongwana announced the temporary reductions in the General Fuel Levy during his Medium-Term Budget Policy Statement on Wednesday. From 4 November to 1 December, the levy will be reduced by R1.50 per litre for petrol and R3 per litre for diesel.

The relief will then be scaled back, with reductions of R1 per litre for petrol and R1.50 per litre for diesel, until 5 January 2027.

The announcement follows a sharp fuel price increase on 7 October, when petrol rose by more than R3 per litre and diesel by between R2.80 and R3.24 per litre.

The increase pushed the price of 95-octane petrol inland to R30.23 per litre, adding to pressure on motorists and transport operators.

However, further fuel price increases could put the industry under renewed pressure.

The latest Central Energy Fund data, released on 15 October, projected further increases in November, with 93- and 95- octane petrol potentially rising by R2.07 and R2.06 per litre, respectively. Diesel prices were projected to increase by between R1.32 and R1.38 per litre.

These are indicative projections and could change before the next official fuel price adjustment takes effect on 4 November.

If fuel prices rise as projected, taxi operators could once again face pressure to increase fares to cover their operating costs, potentially leaving commuters facing higher transport expenses.

SANTACO president, Motlhabane Abnar Tsebe, has urged taxi industry structures to communicate responsibly with commuters while engagements with government continue.

“SANTACO remains committed to constructive dialogue with government in pursuit of practical, sustainable solutions that protect the interests of both taxi operators and the travelling public,” he said.

The announcement has drawn mixed reactions online, with some social media users welcoming the temporary fuel levy cuts, while others say the relief may do little to ease the financial pressure on motorists and commuters.

I know I sound ungrateful but the fuel levy relief is a drop in the ocean. It does not make a significant difference.

— 𝕀𝕋𝕌𝕄𝔼𝕃𝔼ℕ𝔾 𝕄𝕆ℝ𝔸ℙ𝔼𝔻𝕀 (@Itumele_Mora) October 22, 2026

@PresidencyZA @Treasury_RSA 2/@PresidencyZA @Treasury_RSA A R10B fuel levy relief is a temporary band-aid on a structural wound. It evaporates at the pump in weeks, leaving us deeper in the trap. Let’s stop subsidizing fossil-fuel consumption & fund structural industrialization instead! 🇿🇦🔋 #ReinvestR10B

— zwelitsha (@zwelitshazwe) October 22, 2026