Fuel prices have seen some changes as of January 4, 2026, with variations observed across different regions. Here's a breakdown of what's happening in several key markets:

South Africa:

Motorists in South Africa can anticipate significant price decreases in petrol and diesel, expected to take effect next week. Data from the Central Energy Fund (CEF) indicates an over-recovery, leading to projected price drops of between 59 and 63 cents per liter for petrol. Diesel users are looking at even more substantial relief, with potential decreases ranging from R1.35 to R1.47 per liter. The price of illuminating paraffin is also expected to decrease, potentially by R1.08. These over-recoveries are attributed to a stronger Rand and relatively stable oil prices compared to November. The official adjustments from the Department of Petroleum and Mineral Resources are expected sometime before the 7th of January.

The Rand's strong performance against the US dollar, gaining approximately 13% over the past year, has contributed to these price adjustments. This appreciation is due to a combination of local and international factors, including a credible mid-term budget, a credit rating upgrade, a stable Government of National Unity, and South Africa's removal from the FATF grey list. Globally, the Rand has benefited from a depreciating dollar and a commodity boom.

United Arab Emirates (UAE):

The UAE's fuel price committee has announced petrol and diesel prices for January 2026. Super 98 petrol will now cost Dh2.53 per liter, a decrease from Dh2.70 in December. Special 95 petrol will be priced at Dh2.42 per liter, down from Dh2.58 the previous month. The E-Plus category petrol will be available for Dh2.34 per liter, compared to Dh2.51 in December, while diesel will cost Dh2.55 per liter, a reduction from Dh2.85.

Global Oil Market:

In 2025, oil prices generally favored motorists, declining by about 20%. Prices were volatile, fluctuating between below $58 a barrel to over $68 a barrel. Oversupply was a major theme due to increased production amid US tariff and trade wars that dampened demand.

Saudi Arabia:

Aramco provides gasoline fuels that meet the needs of gasoline-powered cars sold in Saudi Arabia. They also supply high-quality diesel fuel for trucks and other specialty vehicles. Prices for December 2025 were ﷼2.18 for Gasoline 91, ﷼2.33 for Gasoline 95, ﷼1.79 for Diesel. Kerosene prices are 1.59 ﷼/liter effective January 1, 2026.

Factors Influencing Fuel Prices:

Several factors contribute to fluctuations in fuel prices, including:

• Global Oil Prices: The price of crude oil on the international market significantly impacts local fuel costs.
• Exchange Rates: The strength of a country's currency against the US dollar, the currency in which oil is typically traded, plays a crucial role.
• Geopolitical Factors: Events such as political instability, trade disputes, and production decisions by major oil-producing nations can all influence prices.
• Local Taxes and Levies: Government taxes and levies on fuel also contribute to the final price consumers pay at the pump.

Keep an eye on local announcements for the specific prices in your city, as these can vary due to regional taxes, transportation costs, and other factors.