Mbabane – Motorists and households are facing a massive financial blow as the Ministry of Natural Resources and Energy announced a steep fuel price hike effective at midnight tonight.
From Friday, May 8, 2026, the price of Diesel 50ppm S will surge by a record E6.40, bringing the new price to E31.60 per litre. Unleaded Petrol (ULP 95) will jump by E2.92 to retail at E25.27 per litre, while Illuminating Paraffin a staple for many low-income households will climb by E6.78 to E26.28 per litre.
The Ministry attributed the drastic increases to the ongoing Middle East conflict and shipping restrictions in the Strait of Hormuz, which have sent international crude oil prices soaring to an average of USD 110 per barrel. These global tensions have tightened regional fuel supplies and created massive deficits in local petroleum pricing.
For the month of April alone, the oil industry incurred a deficit of E209 million. While the government has used the Strategic Oil Reserve Fund to pay these debts to oil companies, the scale of the “under-recoveries” made a local price adjustment unavoidable. Current deficits range from E3.90 to E9.04 per litre across the different products.
In an effort to soften the impact, the government cushioned the increase by covering 25 percent of the required adjustment. Despite this intervention, the price of diesel has crossed the psychological E30 barrier for the first time, a move expected to trigger immediate increases in transport fares and food prices across the country.
Ministry officials noted that the Lilangeni-Dollar exchange rate remains volatile and encouraged the public to use fuel as efficiently as possible.
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