Categories: Business

Diesel shortages continue to affect road transport industry

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By Citizen Reporter

The DA says it wants answers from government over an apparent shortage of diesel in the country that is affecting the road transport industry.

A shortfall in production last month was apparently due to lower refining capacity because to the lockdown.

But some reports say the shortfall is now forecast to last into the middle of this month.

According to Kevin Mileham, Democratic Alliance shadow minister for mineral resources and energy, a snap poll conducted by Grain SA indicates that roughly 30% of their members are unable to obtain bulk supplies of diesel from their fuel suppliers.

“This obviously has huge consequences for South Africa’s farmers, many of whom are in the middle of their annual harvest season.

“Another sector that is significantly affected is that of long-distance trucking, a vital component in ensuring South Africa’s food security.

“As mines ramp up production, and the economy gradually opens, more demand will be placed on our limited diesel stocks, and any shortfall in supply will negatively impact the ability of businesses to restart and recover their operations.”

Mileham says he is asking the department of mineral resources and energy to provide assurances that they will be making sure there is enough fuel in the strategic stockpile.
“The draft strategic stocks policy, which required that fuel wholesalers and refineries hold 14 days of refined reserves, was never enacted or enforced,” Mileham says.

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Published by
By Citizen Reporter
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