Supply of jet fuel to O.R Tambo International Airport

press release

Supply of jet fuel to O.R Tambo International Airport

26 April 2022, Johannesburg – The South African Petroleum Industry Association (SAPIA) can confirm that jet fuel stocks at O.R Tambo International Airport are low but not critical. As at 25 April

2022, stocks were sitting at three days. The available jet fuel at the airport is adequate to accommodate the current demand. 

South Africa depends on jet fuel supply through both local production and imports and there is sufficient product availability in the country. However, the movement of jet fuel is currently challenging due to the impact of the recent floods in KwaZulu-Natal. Rail deliveries have been paused as a result of extensive damage to railway lines. This is posing a risk to the supply of product to O.R Tambo International Airport in the coming days. 

SAPIA and its members are looking at alternatives to supply jet fuel to O.R Tambo International Airport and to mitigate the risk of stock outs. Supply to all other airports across the country remains steady.

Floods in KwaZulu-Natal

press release

Floods in KwaZulu-Natal

15 April 2022, Johannesburg – The South African Petroleum Industry Association (SAPIA) today confirmed that there is adequate petroleum product availability in the country following the recent floods in KwaZulu-Natal. While there has been an impact on operations across the supply chain, there is no immediate risk to the availability of fuel. 

The movement of petroleum products is however challenging with a number of sites running dry across the province. Replenishments are planned from areas outside of Durban and the situation is being monitored.  SAPIA urges the public to avoid panic buying as this will contribute to further retail sites running out of fuel. 

Work to the damaged infrastructure is underway, with the clearing of debris at the Durban port. Shipping of petroleum products is currently halted. Most of the Island View terminals have been restored and pipeline injections have commenced.  Pipelines were not affected by the floods.

The closure of the main access road to Island View, the primary storage area at the Durban port, has resulted in limited loading of fuel trucks.  An alternative route to access the port is enabling a 20% loading capacity. 

Railway operations out of Durban have been paused due to mud coverage and railway tracks being washed away. Repairs to the rail lines are expected to take eight days. 

Sapref remains flooded but all staff have been accounted for. The industry is working together with its stakeholders to safely restore all operational infrastructure and mitigate any further fuel supply risks.

SAPIA responds to the short-term relief measures to address fuel price increases

press release

SAPIA responds to the short-term relief measures to address fuel price increases

1 April 2022, Johannesburg – The South African Petroleum Industry Association (SAPIA) notes the joint announcement by Ministers Enoch Godongwana and Gwede Mantashe on the short-term relief measures to address fuel price increases. These measures would immediately relieve consumers impacted by the rising prices of fuel. 

On 25 March 2022, SAPIA presented alternatives and considerations to mitigate the impact to the fuel price increases to the Portfolio Committee on Mineral Resources and Energy (PCMRE).

SAPIA is pleased that the recommendations have been considered in the “two-phase approach” which includes the temporary reduction in the general fuel levy.This will be funded by the liquidation of a portion of the  strategic crude oil reserves. SAPIA will engage with the Department of Mineral Resources and Energy on its proposed package of additional measures to be introduced after the expiry of the temporary measures.

SAPIA supports a fair and transparent regulatory pricing system with periodic reviews but with stronger oversight of regulations. This is necessary to ensure that pricing mechanisms keep abreast of developments and that unacceptable practises are not allowed to proliferate in the industry.