In South Africa's constitutional framework, Parliament holds exclusive authority to impose or amend taxes, including fuel levies, while the Finance Minister's unilateral power to adjust such levies without parliamentary approval is constitutionally challenged as exceeding executive authority.
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EFF heads to the high court to challenge the powers accorded to the finance minister to decide on...Added:
The Western Cape High Court hearing an application by the EFF, the Economic Freedom Fighters, challenging the Finance Minister's authority to set and amend the fuel levy. The EFF arguing that only Parliament has got the constitutional power to impose or amend taxes. Um the the EFF challenging the Minister's authority to determine or adjust the fuel levy. Remember, um the EFF went to court in June June uh not last year in June. Um it tried to block the fuel levy increases as well. So, let's uh find out what the latest is with this. Babalo Ndenze, EWN reporter following the story for us. Babalo, good afternoon to you. Um the EFF's argument today, what is it saying?
Uh yes, indeed, Mandi. The EFF's arguing today, it's the EFF's attorney or advocate, advocate Sono Khumalo, representing the EFF, arguing really that, you know, Parliament has the power to make any decisions regarding, you know, an increase in fuel levy or any tax. He says that the Minister made a unilateral decision without Parliament's involvement. And he says, you know, the We also remember that the the same court had earlier dismissed the urgent application to stop this very same fuel levy increase. But now it's they arguing the constitutionality and the legality of this fuel levy increase. You know, this legality refers to really the Customs and Excise Act. These are two sections, 4.81 and 4.82, which gives them the Minister the power to amend or, you know, increase fuel levy or any tax.
And also 4.82 saying that the Minister can do this in the public interest. So, that's also before the court the arguing that, you know, that everything the Minister of Finance does is essentially [clears throat] in the public interest. And they are also saying that you might also remember that these were just to just give the listeners just an idea of of the levels of the fuel levy that they are arguing about. It's 8 cents per liter for diesel cuz the fuel levy has gone down because of the relief that the government has instituted because of you know what's happening in the world, but that initial amount is 8 cents per liter for diesel and 9 cents 9 cents per liter in line with inflation for pet for for petrol.
And you know, I'm Caspar also arguing that a tax can't be done without any representation, meaning that parliament should at least you know, be able to consider the matter before it can be done. He says you know, you can't raise a revenue outside of the parliamentary process.
There should be a money bill that is presented and that's not the case when it came to the fuel levy. So they are attacking this the fuel levy increase on two fronts, mainly it's legality and constitutionality. And they're saying that you know, the constitution is quite clear on when it comes to taxation and money bills being presented before parliament. And you know, they're saying that it doesn't seem to be any extent to the power of the finance minister. It's too powerful and they're saying that the minister and can't really just impose these these increases.
But they're not arguing on any decreases decreases are accepted by anyone, but they're saying that when it is coming when it comes to an increase, it has a negative impact on South Africans and legal parliamentary representatives lawmakers should at least have a say. And they're saying that the minister has done away with this power by by insisting on increasing the fuel levy without going through parliament. And now these two arguing this, so we know that the EFF a bigger part of the finance minister will also be making his own submissions after the the the the EFF is done. So but you just to remind what he said last year during that urgent application, his argument in essence was that you know, parliament is going through parliament might be a bit too cumbersome when it comes to these matters because it also requires party participation.
He says that you know, the time involved would be an issue because it take quite long to decide on an issue that is quite urgent. You know, fuel levy increase must be implemented you know, in in its own office it is is it's announced in the budget speech. So, we do expect the finance minister to be making a similar submission after the EFF has done so after the lunch break because the EFF advocate is still presenting the party's case, but his argument quite simply meant that, you know, you can't just go behind parliament and impose a tax that also raises revenue for the government without getting a green light from parliament.
Bongani, thank you for sitting there all out for us. Bongani Ndlovu, EWN reporter the Western Cape High Court hearing that application by the EFF challenging the finance minister's authority to set and amend the fuel levy.
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