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Petroleum Pipelines Act, 2003 (Act No. 60 of 2003)

Regulations

Regulations in terms of the Petroleum Pipelines Act, 2003 (Act No. 60 of 2003)

3. Third party access to storage facilities

 

 

(1) A storage facility licensee must submit such information to the Authority as may be required by the Authority to determine uncommitted capacity and allow access to the applicable records and facilities by the Authority or its duly authorised representative, including consultants.

 

(2) The information referred to in subregulation (1) must—
(a) be submitted via electronic mail, telefax, post and by hand in a format determined by the Authority;
(b) be submitted on the last Thursday of every month or if the last Thursday falls on a public holiday, then on the preceding business day and must pertain to the requested capacity for the following 90 calendar days; and
(c) be published in a manner determined by the Authority within a reasonable time of receipt thereof.

 

(3) A storage facility licensee must, on the last Thursday of the month or if the last Thursday falls on a public holiday, then on the preceding business day, forward, electronically to the Authority the average actual utilisation for the preceding month for each storage facility.

 

(4) A storage facility licensee must keep records of the information contemplated in subregulations (1) and (3) for a period of two years.

 

(5) A storage facility licensee must, if so required by a third party, allow access to uncommitted capacity in a storage facility on commercially reasonable terms.

 

(6) Storage facility licensees must lodge with the Authority their allocation mechanism for uncommitted capacity within six months of receipt of a licence or, in the case of storage licences granted prior to the commencement of these regulations, within three months of these regulations coming into effect.

 

(7) An allocation mechanism contemplated in subregulation (6) must be published on the storage licensee's website and a written copy must be kept at the facility to enable potential customers to understand the procedure for obtaining access.

 

(8) An allocation mechanism contemplated in subregulation (6) must include—
(a) a tariff schedule;
(b) contractual terms and conditions regarding use and payment;
(c) technical requirements for access to the storage facility; and
(d) the process to be followed by a third party when requesting access.

 

(9) An allocation mechanism contemplated in subregulation (6) must—
(a) be commercially reasonable;
(b) be operationally reasonable;
(c) apply a first come, first serve principle;
(d) apply a use-it-or-lose-it principle;
(e) not discriminate on any grounds as contemplated in section 21 of the Act; and
(f) be technically feasible.

 

(10) The Authority must, in determining uncommitted capacity, consider the information contemplated in subregulation (9) and in addition consider—
(a) contractual obligations; and
(b) whether or not capacity allocations are being used to unreasonably limit access to storage facilities.