South African motorists will enjoy a welcome reprieve at the pumps this month after government announced fuel price decreases for January, effective from Wednesday, January 7, 2026.
The adjustment was confirmed in a media statement issued by the office of Gwede Mantashe, Minister of Mineral and Petroleum Resources, which said fuel prices were revised based on prevailing local and international factors.
“South Africa’s fuel prices are adjusted monthly, informed by international and local factors,” the department said. These include the fact that the country imports both crude oil and finished fuel products at prices determined at international level. And they include importation costs such as shipping.
Decline in global crude oil prices
According to the department, one of the main drivers behind the January decrease was a decline in global crude oil prices. The average Brent crude oil price fell from $63.55 to $61.47 during the review period. This decrease was largely attributed to an oversupply in the global oil market. And it was driven by increased production by OPEC+ and non-OPEC producers.
International petroleum product prices followed a similar trend. Petrol prices tracked the decline in crude oil prices. This while the prices of middle distillates, including diesel and illuminating paraffin, fell more sharply. The department said this was due to higher inventories built up for the winter season in the Northern Hemisphere.
These developments resulted in lower contributions to the Basic Fuel Price. Petrol reduced by 45.03 cents per litre and diesel by 126.97 cents per litre. Illuminating paraffin reduced by 87.96 cents per litre.
Exchange rate
The exchange rate also contributed to the adjustment. The rand appreciated against the US dollar, strengthening from an average of R17.22 to R16.85 during the period under review. This led to further reductions in the Basic Fuel Price of petrol by 20.80 cents per litre and diesel by 22.31 cents per litre. While illuminating paraffin fell by 22.54 cents per litre.
The department further confirmed that the slate levy will remain unchanged at zero cents per litre. This follows a positive cumulative slate balance of R3.3-billion for petrol and diesel at the end of November 2025.
From January 7, petrol 93 will decrease by 62 cents per litre, and petrol 95 will drop by 66 cents per litre. Diesel prices will decline by 137 cents per litre for 0.05% sulphur diesel and 150 cents per litre for 0.005% sulphur diesel. Illuminating paraffin at wholesale level will fall by 110 cents per litre.
LPGas prices to increase
The department noted that adjustments to the octane differential between petrol 93 and 95 have also taken effect. This resulted in price differences across fuel-pricing zones.
LPGas prices will increase during the period. The maximum retail price will rise by 21 cents per kilogram nationally. And it will rise by 23 cents per kilogram in the Western Cape.
The full fuel price schedule for all magisterial district zones will be published on Tuesday, January 6, 2026.
