Uganda Airlines Maintains Operations Amid Fuel Payment Dispute
Uganda Airlines has reassured passengers that its operations will proceed without interruption despite an ongoing dispute with fuel supplier MixJet over outstanding invoices and fuel pricing. This statement comes in response to reports from Uganda’s Monitor online newspaper, which indicated that MixJet was threatening to halt fuel supplies and take legal action to recover USD 10 million in unpaid bills, of which USD 6 million was demanded within 48 hours of communication sent to CEO Jenifer Bamuturaki on November 1.
In an effort to resolve the matter, Uganda Airlines has reportedly committed to paying USD 2 million as part of a strategy to clear the outstanding debt. However, an unnamed source within the airline expressed concerns to the Monitor, stating that delayed payments could jeopardize flights to Dubai International and Mumbai International scheduled for November.
Uganda Airlines clarified its position, noting that it has contracted MixJet for fuel supply since its inception and has paid USD 140 million to the supplier between July 2019 and July 2024. The airline asserts that the actual outstanding debt stands at approximately USD 8 million, contrary to MixJet’s claim of USD 10 million.
The airline attributed the payment delays to discrepancies in invoices, inflated charges, and elevated fuel prices. Uganda Airlines emphasized its commitment to reconciling fuel uplifts and technical logs before processing any payments.
In its statement, the airline addressed the issue of inflated fuel invoices and overcharging, expressing concern over MixJet’s consistent threats to withdraw services without adequate warning, which could adversely affect operations. Uganda Airlines remains focused on resolving these discrepancies and ensuring that all payments are made in a timely manner once they are satisfied with the reconciled amounts.
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Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com