Historically, under the threat of international oil sanctions and supply insecurity, South Africa’s liquid fuels industry was subject to extensive government intervention and regulation. Over time, policy objectives shifted towards reduced state intervention, with a particular focus on deregulating crude oil procurement and introducing greater market flexibility.
The White Paper on Energy Policy of 1998 marked a significant turning point in the evolution of the sector. It ushered in a new era of reform aimed at promoting competition in petroleum supply and refining, as well as the progressive removal of price controls and import and export controls. These reforms were designed to enhance efficiency while maintaining security of supply.
The liquid fuels industry is regulated by the South African government through the Department of Mineral and Petroleum Resources (DMPR), which derives its mandate from the White Paper on Energy Policy of December 1998. The DMPR is accountable to Parliament through the relevant Portfolio Committee. The White Paper on Renewable Energy of November 2003 further supplements the 1998 Energy Policy by providing additional policy direction on diversification and sustainability within the energy sector.
The National Energy Regulator of South Africa (NERSA) is responsible for regulating the petroleum pipelines industry in accordance with the provisions of the Petroleum Pipelines Act, 2003 (Act No. 60 of 2003). NERSA’s role is central to ensuring fair access, tariff regulation, and the efficient operation of pipeline infrastructure.
In addition, the Energy Security Master Plan for Liquid Fuels, approved by Cabinet in 2007, primarily addresses short‑ to medium‑term infrastructural constraints within the liquid fuels sector, with a particular focus on strengthening resilience and improving security of supply. A comprehensive list of applicable legislation, regulations, policies, and strategy documents governing the sector is available on the Department of Mineral and Petroleum Resources (DMPR) website.
The Following Legislation Regulates the Liquid Fuels Sector
Other Relevant Legislation Includes
Legislation and Policies
| Document Name | |
|---|---|
| Broad-Based Black Economic Empowerment Amendment Act, 2003 (Act No. 53 of 2003), as amended | Download |
| Broad-Based Black Economic Empowerment Codes of Good Practice, 2013 | Download |
| Central Energy Fund Act (Act No. 38 of 1977), as amended | Download |
| Climate Change Act, 2024 (Act No. 22 of 2024) | Download |
| Competition Act, 1998 (Act No. 89 of 1998) | Download |
| Constitution of the Republic of South Africa, 1996 (Act No. 108 of 1996) | Download |
| Customs and Excise Act, 1964 (Act No. 91 of 1964) | Download | Gazette 45068 Clean Fuels Specification 31 Aug 2021 | Download |
| Gazette 46589 Clean Fuels Implementation 24 June 2022 | Download |
| National Energy Act, 2008 (Act No. 34 of 2008) | Download |
| National Environmental Management Act, 1998 (Act No. 107 of 1998) | Download |
| National Ports Act, 2005 (Act No. 12 of 2005) | Download |
| Petroleum Pipelines Act, 2003 (Act No. 60 of 2003) | Download |
| Petroleum Pipelines Levies Act, 2004 (Act No. 28 of 2004) | Download |
| Petroleum Products Act, 1977 (Act No. 120 of 1977), as amended | Download |
| Value-Added Tax Act, 1991 (Act No. 89 of 1991) | Download |
| White Paper on Energy Policy, 1998 | Download |
The DMRE derives its mandate from the White Paper on the Energy Policy of December 1998. The White Paper on Renewable Energy of November 2003 supplements the White Paper on Energy Policy. The Energy Security Master Plan for Liquid Fuels, which was approved by Cabinet in 2007, primarily addresses the short to medium term infrastructural constraints within the sector. A detailed list of the Acts, regulations, working rules, draft regulations, policies and strategy documents can be found here on the Department of Mineral Resources and Energy website.
