The EFF filed papers to block a fuel levy increase announced during Godongwana’s tabling of budget 3.0 in May.
The EFF says the increase in the fuel levy places an “unjust burden” on the working class and the poor, who are already reeling from rising living costs.
Julius Malema’s red berets will be in the Western Cape High Court on Tuesday to challenge the introduction of a 4% increase in the fuel levy.
Budget 3.0
In his budget 3.0 speech last month, Finance Minister Enoch Godongwana announced a fuel levy increase of 16c for petrol and 15c for diesel, which would take effect on June 4.
Godongwana stated that the levy increase was the only new tax proposal in the third version of his budget.
He, however, did note that this alone will not close the fiscal gap over the medium term.
ALSO READ: EFF files urgent interdict to stop proposed fuel levy hike
EFF application
In Part A of the EFF’s court bid, the party seeks to suspend Godongwana’s fuel hike; interdict Godongwana from giving effect to his decision pending finalisation of Part B of the application and that he, the National Assembly Speaker Thoko Didiza, and the chairpersons of the National Council of Provinces and Standing Committee on Finance be slapped with costs.
In Part B, the EFF wants the court to review and set aside Godongwana’s proposal and to direct all the respondents to pay for the party’s legal costs.
In its founding affidavit, the EFF argued that the fuel levy hike is procedurally flawed and substantively irrational.
The Red Berets said there was no consultation with Parliament, no socioeconomic impact assessment, and no engagement with affected sectors.
“We took this action after repeated efforts to caution the minister and appeal to his conscience failed. We wrote to the Minister, urging him to consider the impact of this increase on the poor and working-class people of South Africa, especially during a time when the cost-of-living crisis is deepening.”
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‘Economically unjust’
The EFF maintains that this levy is both economically unjust, and unconstitutional.
“It deepens inequality and undermines access to essential goods and services. We are committed to fighting the fuel levy increase in court and in parliament.
“The EFF will argue that the fuel levy increase must be scrapped in its entirety in the interest of economic justice and social equity.”
The levies are part of the government’s revenue generation for 2025-26, following the withdrawal of the 0.5 percentage point increase in VAT in April.
ALSO READ: Treasury reverses proposed VAT hike, will remain at 15%
