RUBIS resumes fuel supply to Ogle

Oct 02, 2013 News

“ASL was trying to make a mountain out of molehill” – Kit Nascimento

Worry from Air Services Limited (ASL) that it may have to temporarily shut down operations at the Ogle International Airport because of the interruption of fuel supply by its supplier RUBIS was dismissed yesterday by Ogle Airport Incorporated.
Public Relations Consultant of Ogle Airport Inc., Kit Nascimento, in explaining the fuel situation at Ogle said that ASL was “trying to make a mountain out of a mole hill.”

From left: John Isaacs, Maintenance Officer of CAMS; Kit Nascimento, Public Relations Consultant and Anthony Mekdeci, Chief Executive Officer of Ogle Airport Inc.

ASL had informed that its operations were threatened when RUBIS announced on Monday that it was suspending its supply of fuel to the Ogle Airport after it discovered that its product was being comingled with another product that was sourced by the Caribbean Aviation Maintenance Services (CAMS), a company which ASL is accusing of holding an unfair monopoly on the fuel supply at Ogle.
ASL had also stated that it would not buy fuel from CAMS, a company with which it does not enjoy a good relation.
Yesterday, Nascimento said that RUBIS, a supplier of fuel at Ogle, wanted to ensure that the procedures for the loading of fuel from the other fuel supplier to the airport, met international standards. That has now been clarified, and RUBIS is satisfied with the findings, and as such, fuel was supplied to ASL yesterday, as has been the established practice for over two years, he added.
Nascimento said that ASL seemed to have panicked unnecessarily.
“The comingling of fuel is nothing new in the aviation industry,” he declared.
According to John Isaacs, Maintenance Officer of CAMS, this is not the first time his entity has sourced fuel from other suppliers.
Anthony Mekdeci, Chief Executive Officer of Ogle Airport Inc, stated that comingling occurs all the time. He is of the belief that RUBIS was concerned about its market share and that fuel was being sourced from a local competitor rather than from overseas. As such, RUBIS out of caution, decided to check the fuel and procedures, he added.
Nascimento added there is nothing surprising about the operations. He accepted that communication between CAMS and RUBIS could have been more efficient. However, CAMS informed ASL that RUBIS was satisfying itself on the safety of the fuel and it immediately offered to supply ASL with fuel that had not been comingled.
But as was previously mentioned, ASL refused the offer.
“In the past their prices were exorbitant, were continuously rising, and they were never open to negotiation, despite collective lobbying by ASL, Wings Aviation and Roraima Airways at that time. Additionally, and more importantly, they also interrupted our fuel supply in August 2011,” ASL General Manager Annette Arjoon-Martins had explained.
“We do not want to go back to the same company that cut off our fuel supply in 2011. That is the whole reason why we had our fuel farm investment in the first place, to become independent of having any supplier hold us to ransom,” she added.
Yesterday, Nascimento further stated that in 2011, ASL attempted to bring fuel onto the airport to supply their own aircraft which did not conform to international standards and they were stopped from doing so. And Government finally intervened and told ASL that it must comply with those standards, resulting in the company wanting to build its own fuel farm. This venture was assisted by the airport, which sought international consultancies and brought the expertise to Guyana. That expertise was hired and paid for by ASL, he said.
Nascimento emphasized that construction of the fuel farm has been completed and sits on the airport unused. Taking this into consideration and the fact that ASL purchases fuel directly from RUBIS, there is no monopoly of marketing of fuel on the airport, Nascimento said.
He said the basis for the fuss seems to be that ASL has not yet put its fuel farm into operation, but ASL does not want to pay for the fuel licence and make the cost for the liability insurance, which is very costly.
Meanwhile Mrs. Arjoon-Martins announced late yesterday that ASL was informed by RUBIS that the fuel supply would resume immediately, averting a potential crisis.