South Africa fuel prices remain higher than several neighbors

South African motorists are paying significantly more for petrol than many of their neighbors in Southern Africa. While South Africa faces rising costs due to international oil prices, supply shortages, and shipping expenses, countries such as Botswana, Namibia, Lesotho, Eswatini, and Mozambique have recorded lower retail prices.

In Botswana, where approximately 67% of fuel was imported from South Africa in 2023, motorists pay about R21.85 per litre of 95 unleaded petrol, compared to over R30 in inland South Africa. This discrepancy is driven by differing taxation and pricing structures. South Africa’s costs include a general fuel levy of R4.10 per litre and a Road Accident Fund levy of R2.25 per litre.

Other nations utilize different mechanisms to manage costs, such as Namibia’s National Energy Fund, which absorbs some import costs. However, the trend is not universal; Zimbabwe has occasionally seen petrol prices exceed those in South Africa.

Inkosi Zanothando Mtirara, leader of the Mthatha West Traditional Council, has criticized the pricing gap, suggesting it reflects broader issues in how African nations manage natural wealth. He has called for increased domestic mineral processing and manufacturing to move beyond the export of raw materials.