ACSA loses R1.5 million due to jet fuel shortage: CEO

Reading Time: 2 minutes

The Airports Company South Africa (ACSA) says it lost R1.5 million as a result of a shortage of jet fuel at Johannesburg’s OR Tambo International Airport.

On Monday, ACSA Chief Executive Officer Mpumi Mpofu met with executives from various institutions including Transnet, Passenger Rail Agency of South Africa (Prasa), the Central Energy Fund, and the Mineral Resources and Energy Department to find solutions to mitigate challenges of fuel supply at the airport this week.

Last month ACSA announced that it was facing jet fuel supply constraints in the wake of floods in KwaZulu-Natal which destroyed rail infrastructure and caused logistical problems.

Mpofu says a number of flights were also cancelled due to the fuel shortage.

“The one airline cancelled seven daily flights for a week but are now operating. And the second one did the same from the first of May, so a total number of 14 flights were cancelled during this period and that covers 3 150 passengers who have been impacted. Approximate costs of that to ACSA are on the basis of our fees that we generate per passenger and that would take us to R1.5 million in respect of that.”

Mpofu says the Central Energy Fund will develop a plan to address future energy supply security. She claims that fuel prices have doubled since the beginning of Russia’s incursion into Ukraine, but that refinery constraints are being addressed.

“The overall responsibility of providing fuel security lies with the Minerals and Energy Departments for the country. The CEF, which we have requested to join the intervention, will be able to invoke available legislative instruments to ensure energy security and provide an additional 1.5 million litres of jet fuel in the event that the mismatch of supply and demand is experienced by an airline.”

ACSA’s briefing on fuel shortages :