Encouraging news from South Africa’s President for bunker industry

Encouraging news from South Africa’s President for bunker industry

Following IBIA’s lobbying in Africa to recognise the economic multiplier that bunkering brings to ports it is encouraging the statement from South Africa’s President Jacob Zuma (on Friday 18th December) said that new bunker storage facilities could be an emerging investment opportunity in the country.

Speaking as part of his 2015 End Of Year Statement, Zuma said that bunker storage facilities for “cleaner fuel” could form part of investments worth approximately R1 billion ($66 million) across South Africa.

IBIA has been working with SAMSA and the various economic development agencies to encourage growth in this sector for the last 18 months. Particular support has come from IBIA in Africa Exco which is made up of key bunkering industry players.

IBIA Regional Manager Tahra Sergeant advised that a fuel storage facility has already been launched at the port of Cape Town with an investment of R660 million ($44 million). The President has also advised that such developments would be encouraged by the recent adoption of a Public-Private-Partnership (PPP) model for port infrastructure by South Africa’s Transnet National Ports Authority, and that bunker opportunities in South Africa could be developed alongside growing oil and gas exploration, and new refineries in the country.

CEO Peter Hall advised that IBIA is planning a convention in 2016 in partnership with Transnet in Cape Town to showcase opportunities for the Bunker Industry.

In the President’s address he noted that R7 billion ($464 million) has been spent on new port facilities and refurbishment of existing ports over the last twelve months.

In other maritime developments, Zuma said that over the last twelve months R7 billion ($464 million) has been spent on new port facilities, and refurbishment of existing ports.

Regional Manager Tahra Sergeant said she was encouraged by these reports and this was testimony to the time IBIA has invested in the past two years in particular with governments and national authorities. Sergeant was delighted that all the hardwork was now bearing the fruit.

IBIA had a very successful forum and training week recently in Mauritius based on a similar scenario

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