Cape Argus

Sars vs fuel pipeline fight could impact SA’s airports

- SE-ANNE RALL se-anne.koopman@inl.co.za

A DISPUTE between the South African Revenue Service (Sars) and petroleum companies could spell disaster at the country’s airports.

Already, overall jet fuel levels have dipped below the recommende­d five days’ cover due to the refinery preparing for the shutdown.

According to Airports Company SA (Acsa), the 5-day stock holding of fuel provides a buffer to deal with any unforeseen short-term interrupti­ons that may occur in the jet fuel supply chain.

According to a statement from Acsa, the company was requested, on behalf of the SA Petroleum Industry Associatio­n (Sapia) with respect to ongoing engagement­s between Sapia, Sars and individual petroleum companies, to resolve a tax dispute relating to the use of the multi-product pipeline from Durban to Johannesbu­rg, and related storage facilities.

Acsa explained that it was concerned about the negative impact of the fuel shortage on its airport operations.

“The inland refinery, which is also the main source of jet fuel into OR Tambo Internatio­nal Airport, is preparing for its planned temporary shutdown sometime between May and June this year, leading to a greater reliance on imported fuel from Durban.

“These eventualit­ies have been anticipate­d and jet fuel supply will continue, making use of the said alternativ­e routes,” Acsa said.

This planned shutdown coincides with the challenges posed by the Sars impasse with the parties.

Acsa said it’s communicat­ing with all parties in attempting to resolve the issue.

“We request patience from stakeholde­rs until we receive firm feedback from Sars, Sapia and the petroleum companies on the resolution of this matter,” Acsa said.

The company further emphasised that the responsibi­lity to keep adequate stocks of jet fuel to meet the demands of airlines lies with the fuel suppliers and Sapia using Acsa’s infrastruc­ture.

Engagement­s are ongoing between all parties and airlines to obtain up-todate informatio­n on the actions they are taking to deal with and mitigate this potential crisis.

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