The South African Revenue Service (SARS) has granted fuel importers a special one-year permission to import kerosene fuel, following an engagement with industry to avert fuel shortages at all airports.
This decision follows urgent warnings from the local fuel industry regarding the risk of severe fuel shortages at all major airports, particularly in the wake of refinery closures in KwaZulu-Natal.
The implications of this development are far-reaching, underscoring the importance of stable fuel supplies not only for the aviation sector but also for the broader South African economy.
On Monday, industry representatives raised alarms about dwindling aviation fuel supplies, urging SARS to extend the existing time-bound licence for jet fuel imports.
The concerns were heightened by the closure of the Engen and Sapref refineries, which has critically impacted the production capabilities needed to meet the demands of regional air travel.
“After careful consideration, SARS Commissioner has granted special permission for the importation of kerosene fuel from 21 October 2024 until 20 October 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.”
The urgency of this intervention stems from previous licensing situations. In April 2023, several refineries were granted temporary special storage warehouse (SOS) licences to accommodate the storage and distribution of imported aviation kerosene.
This strategy had been vital to mitigate a looming fuel shortage, particularly during periods when local refineries were undergoing essential maintenance. However, the current time-bound licences are nearing expiration later this month, prompting immediate action from SARS.
SARS Commissioner has stressed the necessity for all parties to expedite their efforts in resolving outstanding compliance issues.
The assurance was made that all involved taxpayers will receive individual communications pertinent to their specific circumstances.
“We believe that this announcement will bring certainty to the industry, which will benefit the economy and ensure smooth travel for all,” said the Commissioner.
BUSINESS REPORT