The Fuels Industry Association of South Africa (FIASA) has confirmed that jet fuel supply after May is supported by stable imports, diversified sourcing and domestic refining capacity.
FIASA’s Head of Industry and Logistics, Siganeko Magafela, said suppliers were confident that inbound fuel imports would remain stable.
“The Strait of Hormuz is currently open and our fuel suppliers are feeling confident that it will remain open for South African suppliers to reach our coastlines. However, we have also diversified our supply sources so that we are not as reliant on the fuel arriving through the Strait.”
Supply diversification
According to Magafela, when the conflict in the Middle East started, South Africa was pushed to strategically diversify its fuel supply sources.
“We are getting more oil from the west coast of Africa, Nigeria, and from the US. When the crisis started, our reliance on the Strait was an issue. But due to the diversification of our fuel sources, we are confident that our supply is stable and will remain so,” he said.
Domestic capacity stable
FIASA said domestic refining and distribution infrastructure was fully operational and capable of supporting airline demand.
“In terms of our infrastructure, we've got two refineries, Natref and Astron, that are producing petroleum and jet fuel in the country, so we are not only dependent on imports,” said Magafela.
He added that logistical infrastructure, such as the pipeline transporting fuel from Durban to Johannesburg, was also fully operational and that the overall domestic supply chain was stable.
Fuel prices back up
In the past week, the price for Brent crude shot up yet again, exceeding US$100 per barrel, signalling likely increases across fuel products in the coming month.
“There are currently no plans to tap into the national strategic fuel reserve. So, we will have to cope with the fuel price fluctuations that may come. It is up to the government to decide on those types of interventions,” said Magafela.
