EXPLAINER | Why diesel costs more than petrol in South Africa

Motorists and businesses across South Africa are feeling the pinch as diesel prices continue to climb at a faster rate than petrol.

Apr 21, 2026 - 09:57

EXPLAINER | Why diesel costs more than petrol in South Africa

Motorists and businesses across South Africa are feeling the pinch as diesel prices continue to climb at a faster rate than petrol, driven by a combination of global and local factors.

While crude oil prices remain a key driver of fuel costs, analysts say diesel is more sensitive to international supply and demand pressures – making it more volatile in times of disruption.

Global demand driving prices

Diesel plays a critical role in the global economy, powering trucks, ships, mining operations and agricultural machinery.

When economic activity increases or supply chains come under pressure, demand for diesel rises sharply – often outpacing petrol consumption, which is more closely linked to private vehicle use.

Supply constraints at refineries

Refining diesel is more complex than producing petrol, requiring specific infrastructure to process middle distillates.

Limited refining capacity, along with periodic shutdowns and maintenance at refineries, can restrict supply and push prices higher.

Impact of geopolitical tensions

Recent disruptions in key oil transit routes, including the Strait of Hormuz, have added further pressure.

Increased shipping costs, higher insurance premiums, and rerouted tankers are all contributing to rising diesel prices globally.

Seasonal pressures

Seasonal demand in the northern hemisphere also plays a role.

Diesel is widely used as heating fuel during winter months, tightening global supply and indirectly affecting prices in South Africa.

Weak rand adds pressure

The local currency remains another critical factor.

A weaker rand against the US dollar increases the cost of imported fuel, amplifying global price increases for South African consumers.

Pricing structure differences

Unlike petrol, diesel prices in South Africa are not fully regulated and can fluctuate more frequently in response to international market movements.

This makes diesel more responsive – and often more volatile – when global prices shift.

That’s why when you pop into various fuel stations around South Africa, the petrol price will be the same, but the cost of diesel will differ.

Economic ripple effects

Rising diesel costs have broader implications beyond the fuel pump.

Higher transport and logistics expenses can push up the price of goods, contributing to inflation and placing additional strain on households and businesses.

With global uncertainty persisting, economists warn that diesel prices may remain under pressure in the coming months, with knock-on effects likely to be felt across the wider South African economy.

Latest forecast

Below, the latest petrol and diesel projections for May 2026 as received by The South African website from the Central Energy Fund (CEF):

FUEL	PRICE CHANGE
Petrol 93	increase of 202 cents
Petrol 95	increase of 236 cents
Diesel 0.05%	increase of 707 cents
Diesel 0.005%	increase of 709 cents