South Africa’s aviation industry is on the brink of another fuel crisis as the shutdown of local refineries, combined with dated legislation, could result in the country running out of jet fuel by October this year.
This comes from Avhapfani Tshifularo, CEO of the South African Petroleum Association, who stated that the industry was in trouble and that major airports are at risk of severe disruptions ahead of the tourism season.
Unfortunately, this crisis is only the most recent in a history of problems, as in December 2024, South Africa’s busiest airport, OR Tambo, suffered a fuel valve failure that caused widespread flight delays and cancellations.
Along with this, not long after a fire at the NATREF refinery resulted in a jew fuel shortage that forced the industry into a nosedive as airports struggled to secure reserves.
At the time, NATREF was one of the last operational refineries in the country, so its loss was a major blow.
Terence Delamoney, the Airports Company South Africa Group Executive for Operations, said to the SABC at the time that the repeated fuel shortages were a symptom of a broader problem in South Africa.
He noted that South African airports originally had access to five refineries for their jet fuel supply, but now only two remain operational: NATREF in Sasolburg and Astron in Cape Town.
Consequently, airports have been forced to import their fuel to compensate for the difference caused by the lack of local production.
Further complicating this are South Africa’s fuel import regulations, which Tshifularo said are entirely ill-equipped to handle the current fuel situation.
He also said that the problem could worsen considerably in the coming months at a fuel industry forum in Johannesburg on 25 July.
“If regulatory issues aren’t resolved by October, we will be in serious trouble,” he said.
This is in reference to the longstanding problems in the 1964 Customs and Excise Act, which was originally created at a time when refineries were central to product distribution, but is no longer applicable to the current situation.
“We’ve been lobbying the government, particularly National Treasury and SARS, for years. The Act was written with a model focused on the movement of product between refineries and depots, but the industry has changed,” he said.
NATREF is currently scheduled for planned maintenance between August and September, which will place considerable strain on the local jet fuel supply.
Problematic regulations
The major issue with the current fuel regulations in South Africa is that fuel can only be exported from a refinery or manufacturing facility and not from a depot.
Importing fuel is similarly impacted by outdated regulations, with the law preventing fuel from being imported directly to a terminal and requiring it to pass through a refinery.
This is particularly problematic since South Africa’s major refineries have shut down, making it incredibly difficult to source fuel.
“This was manageable when SAPREF and Natref refineries were operating in Durban, but now there’s a serious complication,” Tshifularo explained.
The Treasury has acknowledged these issues and pledged to fix the Customs and Excise Act; however, these changes will take too long to prevent the current crisis.
“We’re not going to get this done in 18 months. In the meantime, we face urgent problems around product movement within South Africa and to neighbouring countries,” he said.
Tshifularo has called for interim measures and fast-track administrative interventions to permit jet fuel imports through terminals and imports from depots.
He warns that the country will face another round of fuel shortage emergencies if these interventions do not happen.
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