Fuel-Shedding: South Africans Warned of Possible Fuel Shortage Unless Solutions Are Found in 30 Days
- South Africans could soon face “fuel-shedding” as the country is running out of strategic fuel reserves
- Liquified Fuels Wholesalers Association CEO Peter Morgan said there are not enough strategic stocks in refineries
- He suggested the implementation of the recommendations detailed in the Moerane Report from 2006
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JOHANNESBURG - South Africans could soon face “fuel-shedding” as the country is running out of strategic fuel reserves and refineries, according to Liquified Fuels Wholesalers Association CEO Peter Morgan.
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He stated that there are not enough strategic stocks in refineries and most refineries are not operational. This means that the country increasingly relies on imports, and supply line disruptions are possible.
Morgan told TimesLIVE that solutions are needed within the next 30 days for the country to avoid reaching crisis levels. He said many wholesalers are operating in bankruptcy.
The CEO suggested implementing the recommendations listed in the Moerane Report from 2006 to keep 90 days’ strategic stock. He said 16 years have passed, and an agreement between the regulator and the oil majors has not been made on how much strategic stock needed to be kept and how the cost of this strategic stock should be covered.
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Morgan said the Department of Mineral Resources and Energy and the liquid fuels industry must get together and agree on who would pay for the strategic stock and where it would be held.
According to IOL, he added that strategic stocks were a form of insurance against an interruption in supply.
Citizens react to fuel-shedding:
@Capt501stRex said:
“There’s loadshedding, water-shedding now fuel shedding. It would be nice if the ANC and EFF experienced corruption shedding.”
@BlondieThamaga posted:
“Our problems keep getting bigger and bigger. Are they ever going to get the economy working?”
Transnet strike ended by below inflation wage increase, Satawu unhappy with agreement
In a related matter, Briefly News also reported Transnet workers have returned to work after a 10-day strike that cost the SA economy approximately R8,9 billion.
South Africa’s rail, port and pipeline company announced that it entered into a wage agreement with the United National Transport Union (Untu), representing 24 992 (54%) of the transport employees.
The agreement will span three years, from 1 April 2022 to 31 March 2025 and includes a 6% increase in year one, a 5.5% increase in year two and a 6% increase in the final year.
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Source: Briefly News
