| (1) |
The Authority may impose licence conditions within the following framework of requirements and limitations: |
| (a) |
A licensee must carry out the construction or operations activities for which the licence is granted; |
| (b) |
to promote historically disadvantaged South Africans, in the manner prescribed; |
| (c) |
to provide for an appropriate supply of petroleum products to meet market requirements; |
| (d) |
licensees must provide the prescribed information to the Authority on the commercial arrangements regarding the participation of historically disadvantaged South Africans in the licensees’ activities; |
| (e) |
the petroleum loading, pipeline and storage activities of vertically integrated companies may be required to be managed separately with separate accounts and data and with no cross-subsidisation; |
| (f) |
a petroleum pipeline may be licensed for either crude oil or petroleum products, or both, as long as sufficient pipeline capacity is available for crude oil to enable the uninterrupted operation of the crude oil refinery located at Sasolburg, to operate at its normal operating capacity at the commencement of this Act and for so long as that refinery continues as a going concern; |
| (g) |
shippers of petroleum must have access to petroleum pipelines and a pipeline’s capacity must be shared among all users and prospective users thereof in proportion to their needs and within the commercially reasonable and operational constraints of the pipeline, subject to paragraph (f) and an appropriate payment to reserve the required capacity as a condition of service; |
| (h) |
interested parties must be allowed to negotiate changes with pipeline licensees in the routing, size and capacity of proposed petroleum pipelines; |
| (i) |
pipeline licensees are not obliged to incur any additional expenditure to provide the changes referred to in paragraph (h) and the total cost for the pipeline must be shared equitably between the pipeline licensee and the parties requesting the change; |
| (j) |
licensees must allow interconnections with the facilities of other licensees, as long as the interconnection is technically feasible and the person requesting the interconnection bears the increased costs occasioned thereby; |
| (k) |
third parties must have access to loading facilities with the capacity being shared among all users and prospective users in proportion to their needs, subject to an appropriate payment to reserve the required capacity as a condition of service; |
| (l) |
interested parties may negotiate with loading facility licensees for changes in the capacity of loading facilities; |
| (m) |
loading facility licensees are not obliged to incur any additional expenditure to provide the changes contemplated in paragraph (l) and the total cost for the loading facility must be shared equitably between the loading facility licensee and the party requesting the change; |
| (n) |
third parties must in the manner prescribed by regulation have access on commercially reasonable terms to uncommitted capacity in storage facilities: |
Provided that an applicant for a storage facility licence or an amendment of such licence may elect to give users access to the facility on the basis that the capacity is shared among all users in proportion to their needs;
| (o) |
interested parties may negotiate with storage licensees for changes in the capacity of storage facilities; |
| (p) |
storage licensees are not obliged to incur any additional expenditure to provide the changes contemplated in paragraph (o) and the total cost for the storage facility must be shared equitably between the storage licensee and the party requesting the change; |
| (q) |
tariffs set by the Authority for petroleum pipelines; |
| (r) |
tariffs approved by Authority for loading facilities and storage facilities; |
| (s) |
licensees must maintain their licensed loading facilities, petroleum pipelines or storage facilities in a fully operational condition; |
| (t) |
the time period within which petroleum pipelines, loading facilities or storage facilities must become operational must be fixed; |
| (u) |
licensees must provide information necessary for the Authority to perform its functions; |
| (v) |
standards of construction and operation approved by the Authority, including incorporating by reference any existing standard in terms of other legislation; |
| (w) |
health, safety, and environmental standards required by the Authority, including incorporating by reference any existing standard in terms of other legislation; |
| (i) |
submit to the Authority annually an emergency plan for implementation in the event of system failures, accidents and other emergencies; |
| (ii) |
train the appropriate operating and maintenance employees with regard to the applicable portions of the plan; and |
| (iii) |
establish liaison with the appropriate emergency response officials with respect to the plan; |
| (y) |
petroleum pipeline licensees must have a plan for reviewing changes in conditions affecting the integrity and safety of their pipelines, including periodic patrolling and reporting of construction activities and such changes of conditions; |
| (z) |
licensees must establish and maintain liaison with local authorities that issue permissions for excavations by third parties that could damage the licensees pipelines; |
| (aa) |
licence conditions may be temporarily changed by the Authority in an emergency and, where possible, in consultation with the licensee; and |
| (bb) |
strategic security standards required by the Authority, including incorporating by reference any existing standard in terms of other legislation. |
| (a) |
Any person aggrieved by a condition imposed by the Authority in terms of subsection (1) may in the prescribed manner apply to the Authority to amend or delete the condition. |
| (b) |
If the aggrieved person is not the licensee the Authority must inform the licensee of the application. |
| (c) |
Whenever there is an application in terms of paragraph (a), the Authority must conduct an investigation and may, for that purpose, summon witnesses to appear before it. |
| (d) |
At the conclusion of the investigation the authority must grant or refuse the application and furnish reasons for its decision. |
Intellectual Property Rights from Publicly Financed Research and
