29 November 2025 – The South African Revenue Service (SARS) notes the inaccurate article published on News24 titled “East London airport down to one day’s jet fuel amid SARS licensing crisis”. The article, viewed objectively, seeks to apportion blame to SARS for delays in licensing jet fuel storage facilities in Durban and East London.
There is no licensing crisis at SARS. On 14 October 2024, SARS Commissioner Edward Kieswetter, in an effort to avert fuel shortages at all airports, granted special permission for the importation of aviation and illuminating kerosene from 21 October 2024 until 20 October 2025. The special permission was granted to address the shift in the fuel industry, in which the country has now become an importer of aviation and illuminating kerosene, as local manufacturing has declined significantly.
After the above undertaking and almost one year later, only three entities applied for fuel storage licensing. In the middle of this year, this dispensation was further extended to ensure the security of supply is not interrupted. Again, only the three original licensees renewed their licenses.
While SARS is doing its best to ensure the security of aviation and the supply of illuminating kerosene, it is also monitoring the situation to address non-compliance in the industry, as empowered by the Customs and Excise Act. In early November 2025, SARS stopped imports into unlicensed facilities. The importers were assisted in licensing the facility. On 19 November 2025, a major importer submitted a licensing application for the tanks it used to store imported aviation and illuminating kerosene. This license was expedited and was issued on 27 November 2025
As things stand, the facility in East London has applied for a license to import aviation and illuminating kerosene but has not delicensed its previous license for the same facility, in line with the law. SARS is currently assisting this entity to expedite the process, in line with our commitment to ensuring the security of supply. As it relates to the Burgan Terminal in Cape Town, the matter of a detained jet fuel was resolved, and the jet fuel was released on Tuesday, 25 November 2025. The importer is now applying for the facility’s licensing.
SARS is enjoined by law to stamp out non-compliance with the regulations governing the storage and handling of fuel, and to ensure the strict observance of licensing requirements without undermining the security of the supply of aviation and illuminating kerosene. While the statement attributed to the industry association supports SARS’ mandate, their remarks suggest an expectation that compliance should be secondary to the security of fuel supply.
SARS recognises the vital role of the fuel industry in supplying aviation and illuminating kerosene to all major airports, and, in this regard, SARS appreciates the importance of fuel availability during this peak travel season. However, compliance with customs and excise regulations in those operations is critical to ensure lawful operation. SARS operates with a strict zero-tolerance policy towards non-compliance, as any deviation threatens the very core of its mandate, including its work of levelling the playing field. Importantly, non-compliance also threatens the fuel supply chain and can have profound implications for public safety and the economy.
SARS would like to remind once again the fuel industry involved in the management, storage, importation and distribution of aviation kerosene to note and ensure compliance with the following:
- Prohibition of movement of levy goods: Imported aviation kerosene must be stored exclusively in licensed Special Storage Facilities (SOS), with adherence to legislative guidelines for movement.
- Registration and compliance: All entities involved in managing and distributing aviation kerosene must ensure they are appropriately registered with SARS, which is crucial for maintaining compliance and accurate record-keeping.
- Separation of accounting: Clients must account separately for imported and locally manufactured aviation kerosene to facilitate compliance.
- Pipeline intermixtures: Accurate documentation of any intermixtures in pipelines is required, with clients responsible for necessary amendments to declarations.
SARS Commissioner Mr. Edward Kieswetter said: “SARS remains committed to transparent communication and expeditious handling of compliance matters while ensuring the integrity of our processes. I encourage all stakeholders in the fuel industry to work closely with SARS to obviate any unnecessary challenges and to ensure that any movement of fuel is dealt with in line with all relevant regulations, including the Customs and Excise Act 91 of 1964”.
For further information, contact [email protected].
