Saturday, November 16, 2024

Jet fuel crisis averted

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The South African Revenue Service (Sars) has granted a special one-year permission for the importation of jet fuel, averting a potential supply crisis at OR Tambo International Airport and other airports over the upcoming December holiday season.

The revenue service said the reprieve would run from October 21 until October 20, 2025.

“The special permission is granted to allow parties to attend to the complexities involved in the process of the deregistration of manufacturing warehouses and reregistration of affected storage facilities,” said Sars.

The decision comes days after the Fuels Industry Association of South Africa flagged concerns about a severe threat to the supply of jet fuel, also known as aviation kerosene, to OR Tambo International Airport (see Travel News article here). The shortage would also have affected other airports supplied through Durban.

The fuel industry attributed the crisis to regulatory delays related to Sars’ licensing requirements for fuel importation and storage facilities. Sars clarified that industry participants were finding it difficult to adhere to the strict provisions of the Customs and Excise Act, which governs the movement of such fuel.

The challenges are partly due to the closure of three coastal refineries in recent years, prompting companies to increase importation of fuel. “The Commissioner requests all parties to conclude the outstanding work urgently and ensure that all compliance requirements are met and that the current licensing provision, in respect of the importation of kerosene fuel and its derivatives, may be confirmed where appropriate,” Sars said.

An Acsa spokesperson told Travel News that it had received assurances from the fuel industry that the current supply plans would ensure that OR Tambo continued to receive its normal fuel supply.

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