ACSA resolves fuel supply issues at OR Tambo, denies that it is broke

Passenger travel was disrupted by fuel supply problems again this week at OR Tambo International Airport in Johannesburg, South Africa’s busiest airport this time of the year. Picture: Supplied

Passenger travel was disrupted by fuel supply problems again this week at OR Tambo International Airport in Johannesburg, South Africa’s busiest airport this time of the year. Picture: Supplied

Published Dec 11, 2024

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After days of more fuel supply disruptions and flight delays at South Africa’s busiest airport, OR Tambo International, Tourism Minister Patricia de Lille yesterday appealed to Airports Company South Africa (Acsa) to “identify the immediate causes and implement robust contingency plans that can be swiftly activated.”

Acsa, now caught in a maelstrom of operational issues and legal claims, also yesterday vigorously denied reports that it was insolvent and that it owed money to service providers.

De Lille’s appeal followed hard on the heels of other issues that have dogged the airport operator, not least being several applications for its liquidation by service delivery operators who claim they have not been paid for services rendered, and claims that its financial statements were “fake.”

On Tuesday, OR Tambo International experienced disruptions due to fuel supply issues. Technical problems with fuelling infrastructure led to several flight delays, and some were even cancelled. Acsa has since issued a statement saying that it has resolved the fuel supply problems.

Aaron Munetsi, CEO of the Airline Association of Southern Africa (AASA), urged Acsa to find a “back-up” solution to prevent future fuel supply challenges.

“Although AASA appreciates the efforts being made by Acsa to restore fuel supplies at what is Southern Africa’s busiest air travel and air cargo gateway, we urge Acsa to expedite the installation of the back-up bypass line that was promised as part of the fuel supply resilience plan, after the previous main supply valve failure in December 2022,” Munetsi said.

De Lille said the chaos experienced yesterday underscored the urgent need for Acsa to thoroughly understand the root causes of these issues and address them decisively.

“Reliable airport operations are essential not only for the smooth movement of passengers but also for safeguarding South Africa’s reputation as a premier tourist destination,” she said.

“In light of this, I will be engaging with the Minister of Transport to discuss these matters further.”

Meanwhile, Acsa yesterday also denied it owed money to Fidelity Security, Eagle Eye Security, G45 Aviation, Mafako Security, and Venue Security.

Acsa said it paid all “legitimate and undisputed invoices received where goods and services have been rendered.”

From the inception of the contracts in 2017 to date, Acsa said it had paid the security companies R3.97 billion.

“After five years, the security services agreements are due for renewal and are the subject of litigation from several of the current service providers,” Acsa said.

From April 2024 to November 2024, it had paid R292 million to security service providers.

“Specific service providers have exercised an election to proceed through arbitration, and Acsa has exercised its right to defend these proceedings,” it said. It denied owing security service providers more than R550m but stated it had received claims of R126m that still need to be verified, which were subject to the arbitration process,“ it said.

“Liquidation proceedings were instituted against ACSA for unverified claims. The application for liquidation has therefore no prospects of success, as Acsa is a going concern and is able to pay its debts as and when they arise.”

Acsa also rejected an allegation that its financial statements were “fake,” as the financial statements of 2023/24 were audited by the Auditor-General, and an independent audit opinion was also issued confirming the fairness of the financial statements, and the company was solvent and liquid.

BUSINESS REPORT