EFF threatens court action over proposed fuel levy increase
EFF treasurer-general Omphile Maotwe has written to Finance Minister Enoch Godogwana rejecting the fuel levy.
Image: Nhlanhla Phillips / Independent Newspapers
The EFF has written to Finance Minister Enoch Godongwana, with an ultimatum, demanding the withdrawal of the proposed fuel levy increase, citing constitutional and legislative obligations or face more court action.
The party argues that the increase, effective June 4, 2025, is a regressive tax that will disproportionately affect the working class and poor.
Godongwana was given 48 hours to respond to the Red Berets' demands, or risk further escalation of the Budget crisis.
Godongwana's spokesperson, Mfuneko Toyana, declined to comment on the matter; however, confirmed that the department had received the letter.
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The Budget is, however, yet to be passed in the National Assembly.
The EFF's letter comes amid the ongoing drama surrounding the 2025 Budget.
The party, with the help of the Government of National Unity (GNU) aligned DA, had previously successfully challenged the Value-Added Tax (VAT) increase in court, which was declared invalid and withdrawn.
However, the National Treasury has now proposed to increase the general fuel levy by 16 cents per litre on petrol and 15 cents per litre on diesel, as outlined in the May 2025 Budget Review.
In a lengthy letter penned by party treasurer-general, Omphile Maotwe, the EFF argues that the fuel levy increase will have a devastating impact on the working class and poor, exacerbating the cost-of-living crisis and placing undue pressure on households already struggling with rising food and transport prices, stagnating incomes, and unemployment.
"The proposed fuel levy increases, though seemingly modest in nominal terms, will have disproportionate effects on the working class and poor, as they cascade through transport, food, and essential goods pricing," Maotwe wrote.
The EFF also argues that the fuel levy increase is unconstitutional, as it seeks to impose a national tax through executive regulation rather than through a legislative process governed by the Constitution and relevant statutes.
"The fuel levy is a national tax, paid by every South African, directly or indirectly. It cannot be increased through a Government Gazette notice or regulation," the party said.
The EFF has formally requested that the minister withdraw the proposed increase.
The party has also demanded that the minister refrain from issuing any Gazette or regulatory notice under the Customs and Excise Act until this tax measure has been lawfully processed via a Money Bill.
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