EFF in court to block fuel tax increase
The Economic Freedom Fighters (EFF) went to court on Tuesday to try to block a fuel tax increase that Finance Minister Enoch Godongwana proposed in last month's budget.
The 4% increase in the levy South Africans pay on petrol and diesel is due to kick in on Wednesday, but the EFF wants the High Court to suspend it on the basis that it is unjust and that the minister did not follow proper parliamentary process.
"This increase places an unjust burden on the working class and the poor, who are already reeling from rising costs of living, stagnant wages, and ongoing economic hardship," the EFF said in a statement before a court hearing in Cape Town.
In a sworn statement, Godongwana said he had the right to raise the fuel levy and that the EFF's case appeared aimed at blocking passage of the budget, which he already had revised twice due to disagreements in the coalition government.
Godongwana said that if the court blocks the tax increase, it would leave a revenue shortfall of at least R3.5-billion, which would have to be recovered through additional borrowing, taxes or spending cuts.
He has already backtracked on a contentious plan to raise value-added tax, under pressure from the second-biggest political party in the coalition, the Democratic Alliance, and others outside it.
Investors want to see evidence that Africa's biggest economy can rein in spending and hit revenue targets after a steep rise in public debt over the past two decades.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Multotec, recognised industry leaders in metallurgy and process engineering help mining houses across the world process minerals more efficiently,...
VISIT SHOWROOM
We at Hawk High Pressure Pumps specialise in industrial pumps and pumping systems. Our high pressure washing equipment is locally manufactured and...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
