GOVT CONSIDERS ALTERNATIVE AIRLINE FUEL SUPPLY

THE government is currently considering alternative supplies for Jet A1 Fuel, says Minister for Transport and Civil Avialtion, Walter Schnaubelt.

“As the Minister responsible for aviation policy, aviation safety and aviation security, I am compelled to update the country on the current state of affairs in relation to Jet A1 Fuel supplies.”

“I sympathize with the citizens and public business community. I appeal to you all for your patience whilst the Government is working on alternate fuel supply,” Schnaubelt said.

Meanwhile, Puma Energy PNG Ltd holds two Supply Organization Certificates issued by the Civil Aviation Safety Authority (CASA PNG). 144/001 for its Refinery Operations and 144/006 for retail activities associated with the supply of Aviation fuels.

Puma Energy PNG Ltd sent a letter to the CASA PNG on the 15th of February 2024, advising of the disruption of fuel supplies.

A second letter was sent to the CASA PNG on the 20th of February 2024, advising that the estimated fuel stock remaining at Jacksons Airport, which is the largest user of aviation fuel, was approximately 4 days of supply (including meeting emergency requirements) and that Puma had further limited stocks at other Airport Locations around Papua New Guinea.

A third letter was sent to the CASA PNG on the 23rd of February 2024 that Air Niugini obtained a court order for Puma to keep supplying Air Niugini without reduction which has meant that Puma was obliged to keep supplying Air Niugini until they had literally no more left – even for emergencies. Puma anticipated this situation would be reached within the next 1-2 days from the 23rd February 2024,” Schnaubelt explained.

CASA PNG inspectors in accordance with the Civil Aviation Act 2000 visited the Puma facilities at Napanapa and 7-Mile on Thursday 22nd February 2024.

From documents provided by Puma to CASA PNG, Napanapa had 405,000 litres of useable Jet A1 fuel. 7-Mile has 700,000 litres of useable JetA1 inTank No. 1; and 100,000 litres of useable Jet A1 fuel in Tank No. 2. That would provide for a total of 1,205,000 litres of useable Jet A1 fuel from the 23rd February 2024.

Daily usage looks like it varies from 170,000 litres per day to about 250,000 litres a day. Based on 170,000 litres usage per day that would mean we have approximately 7 days’ supply available. If 250,000 litres is used per day, that would mean we have approximately 5 days’ supply available.

The first Jet A1 replenishment cargo is scheduled to arrive on Tuesday, 27th February 2024. Arrangements are being made with Puma to divert a tanker to Australia to PNG. A second shipment organized by Exxon and a local supplier expected to arrive 3rd March 2024.

A 3rd shipment organized by Australia and PNG consortium expected is to arrive by 5th March 2024.

Possible mitigating actions in the interim, which could be employed by the operators, are:
  • Further rationing of Jet A1 use;
  • I understand PNG Air is limiting their services to contractual obligations;
  • Air Niugini tanker fuel from international ports to enable return flights to International Destinations;
  • Air Niugini to restrict frequency to domestic ports; and,
  • All Operators that use Jet A1 cancel flights with possibly a booked capacity of less than 30-20%.

It is also understood that Air Niugini and PNG Air are being forced to make their own arrangements to bring in Jet A1 fuel to support their domestic operations.

“Again, I appeal to you all for your patience whilst the Government is working on alternate fuel supply,” Schnaubelt concluded.

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