The Congress of South African Trade Unions (Congress of South African Trade Unions) has raised serious concerns over the sharp increase in fuel prices, warning that the hikes are placing unbearable pressure on workers, commuters, and the country’s fragile economy.
According to COSATU, petrol prices have increased by more than R3 per litre, while paraffin has risen by over R4, gas by R5, and diesel by approximately R6 per litre. These increases come shortly after April’s fuel hikes, worsening the financial strain on millions of South Africans already battling rising living costs.
The federation described the situation as a “painful blow” to workers and poor households, particularly as the economy continues to struggle with slow growth estimated at around 1%. COSATU noted that many workers already spend nearly 40% of their wages on transport while supporting large families, leaving them vulnerable to further economic hardship.
Although government’s decision to extend fuel levy relief for petrol and diesel during May and June was welcomed, COSATU warned that the planned reduction and eventual removal of this relief could deepen the crisis if international oil prices remain high. The federation argued that the effects of the ongoing Middle East conflict continue to drive global fuel costs upward, and prices may not return to normal levels soon.
COSATU also expressed concern about the lack of support for paraffin users, pointing out that millions of working-class families rely on paraffin for cooking and heating. Diesel price increases were also highlighted as a major concern because they directly affect public and private transport costs, as well as the prices of goods and services.
To reduce the burden on citizens, COSATU called on government to maintain fuel levy relief measures for as long as fuel prices remain elevated. The federation further urged authorities to make public transport more affordable and to introduce additional interventions should inflation continue rising.
Among the proposals made by COSATU are increasing social grants to match inflation, distributing food parcels to vulnerable households, protecting food prices through support for agriculture and freight transport, and reducing electricity costs. The federation also appealed to the South African Reserve Bank not to raise interest rates, arguing that current inflation is caused mainly by international factors rather than domestic spending.
COSATU further called on the private sector to play a role in easing the crisis by avoiding retrenchments and offering payment relief on loans and insurance for struggling consumers. In addition, the federation urged government and financial institutions to introduce a bold economic stimulus package to revive the economy and protect vulnerable communities.
The federation concluded by pledging continued engagement with government to push for decisive measures aimed at shielding workers, the poor, and the broader economy from the ongoing global economic crisis.
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