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Dramatic increase in demand for diesel leads to countrywide shortage

Unplanned shutdowns were a contributing factor which led to inadequate stocks but this was likely to normalise by Monday, June 1, the South African Petroleum Industry Association said.

The South African Petroleum Industry Association (SAPIA) confirms that there is currently inadequate stock of diesel in the country.

Since the easing of lockdown restrictions, the opening of the economy has resulted in a more rapid recovery than expected. There has been a dramatic increase in demand for diesel.

Stock rationing is being implemented to manage demand and to preserve stock.

ALSO READ: Mid-May outlook: ‘South Africans sensitive to even small fuel price increases’

In addition, there has also been an opportunistic increase in demand for petrol, however, it is manageable despite the strain on supply.

Unplanned shutdowns were a contributing factor which led to inadequate stocks but this is likely to normalise by Monday, June 1.

Both refineries in Durban are currently starting up and on spec production is expected this weekend.

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