Eastern Cape households are facing tougher times as a sharp fuel price increase took effect today, piling pressure on consumers already struggling with the rising cost of putting food on the table.
The price of 95-octane petrol rose by R3.33 a litre from Wednesday, while 93-octane petrol increased by R3.12 and low-sulphur diesel by R3.24.
The latest increase means petrol will, for the first time, cost about R30 a litre.
For ordinary residents, the increases mean higher transport and business costs at a time when incomes have remained largely unchanged.
Checkers Sixty60 driver Jairos James, from KuGompo City, said the fuel increase would eat further into his daily income.
James said he currently spent between R150 and R200 a day on fuel, depending on how busy he was.
“Usually, every day we use R200 when it’s busy, but when it’s not busy, it’s R150. But now we are definitely going to use more than R200.”
Grass-cutting business owner Ndimphiwe Soka said the increase would affect both his personal transport costs and the cost of running his business.
“I have a grass-cutting business. I use petrol for my business to operate," Soka said.
"The increase of petrol is not only affecting me by having to pay money for taxis, it will also affect my business.
“I now have to increase the amount I used to charge my customers, and they will not understand.
"This is going to cost me my business because I will be increasing my petrol prices for the third time in one year.”
Eastern Cape Santaco spokesperson Mxhosa Sobazile said the fuel increase would place further strain on the already struggling public transport industry.
Fuel prices have increased three times this year, while public transport fares have increased only once, in June.
Sobazile said taxi operators were already struggling with rising operating costs and could not simply increase fares every time fuel prices rose.
“Our vehicles need fuel and it’s a struggle to keep up. We cannot increase the prices again because we recently did, and we have to think of our passengers.
“The sad reality is that we are competing against buses that are subsidised by the government and carry people for lower prices.
"Even if we were to say we can’t ferry people, they would find their way to town.
“There’s no gains for us. You find that a taxi is cashing R500 a day and you find no taxi instalment less than R15,000 to R17,000 a month.
"By calculation, that shows the struggle we are facing. But we are doing this business because it’s something we grew up doing.”
The impact of the fuel increase is expected to extend beyond transport, with the latest household food basket figures showing that residents in Mthatha are already paying more for basic food.
The Pietermaritzburg Economic Justice & Dignity Group’s September 2026 household food basket survey ranked Mthatha third among the seven areas monitored, behind Johannesburg and Springbok.
The Mthatha basket cost R5,536.16 in September, compared with R5,679.01 in Johannesburg and R5,891.18 in Springbok.
The average basket across the areas surveyed was R5,488.06.
Mthatha’s basket increased by R58.29 month-on-month, from R5,477.87 in August to R5,536.16 in September.
Year-on-year, however, the basket was R37.37 cheaper, falling from R5,573.54 in September 2025 to R5,536.16 in September 2026.
Speaking on behalf of the group, Mervyn Abrahams said the fuel increase could put further pressure on food prices because diesel was used throughout the food supply chain.
“Globally, we are not seeing prices going down," Abrahams said.
"What we have seen is a slowing of inflation. Prices are still increasing but they are not increasing at such a high level as they did two or three or four years ago.
“But now this petrol shock has the potential of again spiking food prices because fuel is used.
"When these things spike it’s not a good thing for where food prices might go.”
He said lower-income households were particularly vulnerable because they spent a larger proportion of their income on food.
“With this petrol price increase, we are hoping that it is a spike, meaning it’s going up and then it will come down again by next month," Abrahams said.
"But if it continues longer than for two months at this level, the government will have to intervene.
“Our suggestion would be that it would be better for government to take away the fuel levy, even though that is money lost to the Treasury, because if it persists by two months at this high level then that would begin to increase inflation in the general economy.
“It would not just be food but it would be everything and it is easier to deal with taking the fuel levy away than bringing down inflation once it starts entering into the system.”
Eastern Cape Chamber of Business secretary-general Dr Andile Nontso said households were already struggling with high food prices.
“We are in trouble as communities cannot cope with high skyrocketing food prices.
“Now that petrol is at its all-time high, communities will battle to make ends meet,” Nontso said.
Agri Eastern Cape president Peter Cloete said the fuel increase would add to the cost of living and highlighted the need to bring businesses closer to consumers.
“This is where the government needs to take cognisance of things. You need to encourage business to settle and do business close to the people because of the transport costs,” Cloete said.
Eastern Cape Black Business Forum president Luthando Bara said the province needed to reduce its dependence on food produced elsewhere.
“The Eastern Cape cannot continue to be predominantly a consumer of food and goods produced elsewhere.
“Government and the private sector must urgently strengthen local agriculture, agro-processing, logistics and township and rural distribution networks.
“Producing more of what we consume locally will not only help address food costs, but can also create much-needed jobs and keep more money circulating within the provincial economy.”
Daily Dispatch