Parliament: Fuel-Related Second Special Appropriation Bill Tabled

Posted 31 July 2026 Written by Acts Online
Category Parliament

Brought to you by SA Legal Academy: National Treasury has officially tabled the Second Special Appropriation (2025/26 Financial Year) Bill in Parliament, proposing a R10 billion budgetary allocation to buffer fuel price volatility.

Following the gazetting of its procedurally required pre-tabling explanatory summary on 27 July 2026, the Bill seeks to allocate an additional R10 billion to the Department of Mineral & Petroleum Resources for the 2025/26 financial year. The appropriation is intended to recapitalise the Equalisation Fund, established in terms of the Central Energy Fund Act, No. 38 of 1977, which serves to stabilise retail fuel prices for domestic consumers.

According to the memorandum on the objects of the Bill, the funding provides a short-term buffer against continuous volatility in international crude oil prices driven by geopolitical tensions in the Middle East and Gulf region. The memorandum further notes that this targeted funding strategy provides fiscal flexibility and may obviate the need for future general fuel levy interventions.

Key statutory features of the proposed legislation include:

  • Budgetary allocation: R10 billion in additional funding allocated to the Department of Mineral & Petroleum Resources for the 2025/26 financial year.
  • Statutory purpose: Financial support for the Equalisation Fund under the Central Energy Fund Act, No. 38 of 1977.
  • Policy objective: Absorption of international petroleum price shocks to avoid broad-based fuel levy adjustments.

What this means for you, your business, or your clients

  • For yourself: No direct individual filing or compliance obligations; impact channelled through retail fuel price stabilization.
  • For your business: Logistics and transport-heavy practices should update financial forecasts to reflect fund-based price smoothing rather than anticipated cuts to the General Fuel Levy.
  • For your clients: Corporate clients with substantial energy or supply chain exposure should review cash flow models and fuel hedging strategies in light of state-backed price stabilization mechanisms.

Originally published at https://legalacademy.co.za/news/read/parliament-fuel-related-2nd-special-appropriation-bill-tabled

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