Early childhood development crucial to economic growth
JOHANNESBURG - Finance Minister, Enoch Godongwana has announced additional funding of R10 Billion for early childhood development.
The allocation will increase access to include 700 000 children under the age of five.
According to Managing Director of Sesame Workshop, Onyinye Nwaneri, this allocation will assist in creating employement, and children will be able to achieve their development milestones.
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Daily Maverick
16 hours ago
- Daily Maverick
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The Western Cape High Court has dismissed the EFF's urgent bid to block a controversial fuel levy hike—just as fuel prices dip. From midnight, levies rise by 16c (petrol) and 15c (diesel), despite constitutional questions. It's a pump paradox: taxpayers pay more, but pump prices briefly fall. In a ruling handed down yesterday, Judge Nathan Erasmus found that the EFF's application lacked urgency and did not meet the legal threshold for interim relief. The court did not engage with the broader constitutional challenge itself, which the EFF had previously framed in its initial filing as a possible Part B of its legal strategy. A tax fight rooted in Budget 3.0 The levy increase was announced in Finance Minister Enoch Godongwana's revised Budget 3.0, tabled in May following the political fallout and eventual withdrawal of VAT hikes in earlier budget versions. Treasury estimates the fuel levy will raise about R4-billion in the 2025/26 fiscal year. The EFF has argued that the use of Section 48(1) of the Customs and Excise Act to implement the fuel levy increase amounts to an unconstitutional bypassing of Parliament. Section 77 of the Constitution requires that all new taxes be passed via a money Bill through the National Assembly. Arguments on constitutional compliance Representing the EFF, Advocate Mfesane Ka-Siboto told the court: 'The fact that this has happened before does not make it lawful. Past practice is not a substitute for constitutional compliance.' He described the move as a case of 'taxation without representation.' The Treasury, represented by Advocate Kameel Premhid, countered that Section 48(1) had long been used lawfully to adjust fuel levy schedules. He argued the measure was an administrative amendment within an existing framework, not the introduction of a new tax requiring legislative approval. What this means for you For consumers, the fuel levy increase translates into higher petrol and diesel prices at the pump, effective immediately. This could lead to broader knock-on effects on transport costs, food prices and inflation, particularly for lower-income households who spend a greater share of their income on fuel-linked expenses. Treasury maintains the hike is necessary to address fiscal gaps left by the abandoned VAT proposal. The fuel levy increase will be offset by a decrease in fuel prices – which also kicks in on Wednesday, 4 June. The Department of Minerals and Petroleum Resources (DMPR) announced the following price decreases yesterday: Petrol 93 (ULP & LRP): ⬇️5cents/litre. Petrol 95 (ULP & LRP): ⬇️5 cents/litre. Diesel (0.05% sulphur): ⬇️ 36.9 cents/litre. Diesel (0.005% sulphur): ⬇️36.9 cents/litre. Commenting on the changes, the DMPR noted that over the last month, there has been a decrease in the average Brent Crude oil price from US$66.40 to US$63.95, largely on the back of continued global trade uncertainty, Parliament distances itself from the damage Parliament, which was cited in the court papers, but not the target of any relief, issued a brief statement after the judgment: 'Although cited in the application, no relief was sought against Parliament. Parliament's position throughout the proceedings was to abide by the outcome of the court process. Accordingly, Parliament will comply with the court's ruling.' Oversight loophole or legal mechanism? In its legal representations, Treasury has argued that Section 48(6) of the Act ensures Parliamentary oversight by requiring the amended tariff to be tabled after the fact. The EFF, however, contends this form of post-implementation tabling falls short of the constitutional threshold for public finance legislation. EFF's Part B remains unclear In a short statement on X after the ruling, the EFF said: 'We are committed to fighting the fuel levy increase in court and in Parliament.' However, the party did not explicitly confirm that it would pursue the Part B constitutional review. Whether the EFF returns to court or not, the broader legal and political debate over fiscal authority, oversight and the democratic control of taxation is likely to persist. DM
Eyewitness News
a day ago
- Eyewitness News
WC High Court dimisses EFF's application to suspend fuel levy increase
CAPE TOWN - The fuel levy increase will come into effect at midnight after the Western Cape High Court dismissed the Economic Freedom Fighters (EFF)'s application to suspend it. The EFF had approached the court to suspend the increase before it comes into effect on Wednesday, and also review the minister's decision in his budget speech last month. But Minister Enoch Godongwana defended the decision, arguing in court that it was not another tax but rather a regulatory charge that the minister is empowered to implement. The EFF argued in court that Godongwana encroached Parliament's powers when he announced the levy increase. ALSO READ: EFF argues Godongwana has no powers to increase fuel levy The party says the minister also failed to introduce a money bill as required when imposing a tax, and this needs to be processed by Parliament. It says the minister instead relied on Section 48 of the Customs and Excise Act, which deals with duties on goods and customs, not general taxation. Godongwana's legal counsel, Adv Kameel Premhid, told a full bench that the increase is not a tax but a regulation. "Regulatory charges bring in money, so they might raise revenue. But that doesn't make it a tax, and just because a tax also raises revenue, the two are not the same thing." Godongwana's court victory means that from Wednesday, motorists will pay an extra 16 cents per litre for petrol and 15 cents more per litre for diesel.
The Herald
a day ago
- The Herald
Petrol and diesel prices to drop at midnight
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