MBABANE (Wednesday 2 September 2026): The price of petrol has increased by E1.30 from E24.67/lite to E25.97/litre, the second highest in history in the Kingdom. Diesel has also increased by E1.35, sending the price rocketing from E27.50/litre to an unprecedented E28.85/litre.
The fuel price rise which is expected to push the cost of petrol and fuel inflation and price increases in a range of goods and services, takes effect from Friday morning 4 September 2026.
Announcing the fuel price hike earlier this evening, Ministry of Natural Resources Principal Secretary Lindiwe Mbingo blamed the escalation on international crude oil prices that raised the price to an average of US$89 per barrel in the month of August, 2026, compared to an average of US$87 per barrel in July, 2026.
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Price strains were also imposed by squeeze in the Strait of Hormuz which remains largely closed by conflicts between the USA and Iran. During July Russian imposed an export ban on diesel due to refining infrastructure damage by Ukrainian drone strikes. Mbingo said this severely constricted global supply, putting additional pressure on the fuel prices.
Mbingo noted that the prices would have been worse but were ameliorated by the appreciation of the Lilangeni against the US Dollar with an exchange rate that averaged E16.11 in August, 2026 compared to the E16.46 in July.
The price increase also affects illuminating paraffin which is used mainly by the poor. Paraffin will increase from E20.38/litre to E21.73/litre.
The price of fuel is set for a major price jump expected to be announced by the Energy Department in the next few hours.
A ministry of natural resources official confirmed that officials were currently locked in a meeting to determine the new fuel price.
The jump, if indications from South Africa are anything to go by, may be as high as E1.30 for petrol and even higher for diesel which has increased by almost E3.00 in South Africa with effect from midnight (Wednesday, 2 September 2026).
The Eswatini price of fuel is benchmarked on the South African who are the principal importers of both crude and refined stock for the SACU countries of Botswana, Lesotho, Eswatini and Namibia.
The fuel price which has not changed in Eswatini since June 2026 when the petrol price jumped again, by 90 cents per litre, increasing from E25.27 per litre of ULP 95 to E26.17 a litre – the highest in history while that of diesel reduced from E31.60 to E29.20 per litre for 50ppm.
Since then, easing tensions in hostilities in the Persian Gulf war between the USA and Iran indicated promises of substantial improvements. Fuel prices even reduced in July, but renewed hostilities and USA attacks on Iran and Iran in turn attacking Jordan as part of its asymmetrical war has sparked fears of global fuel shortages and a gradual uptick in the price of crude. Brent crude was trading at disturbing high above US$94.50 a barrel this morning.
In South Africa drivers are also feeling the pain. Their fuel prices increased by R1.34 per litre and diesel by between R2.94 and R3.15 per litre from midnight today.
South African price changes are worsened by an increase in the slate levy and by industry wage increases.
The big disruptor in the fuel price remains the US-Iran War, which saw escalation in August, pushing prices above $90 a barrel. However, the four-year old Russia-Ukraine War also continues to impose global fuelsupply disruptions.
The only area of solace for SACU is the the rand/dollar exchange rate, which strengthened to pre-Iran War levels, which however will not be enough to continue offsetting steep crude oil price rises.
Jm/02.09.2026