Minister of Mineral and Petroleum Resources Gwede Mantashe has issued a warning to petrol stations, stating that the government will continue to crack down on those caught selling adulterated fuel.
Adulterated or “dirty” fuel has become a major problem in South Africa with warnings that date back to the start of 2023.
It is a practice where unscrupulous fuel retailers will dilute their fuel (typically diesel) with a cheaper substance like illuminating paraffin.
This allows the station owners to sell fuel for the full amount while pocketing the savings from the diluted substance.
Paraffin is roughly R7 cheaper per litre than diesel, making it a tempting prospect for sketchy retailers.
Of course, diesel engines are not designed to run on paraffin, which provides inadequate lubrication for the various components, and lacks the additives included in fuel for modern engines.
“Dirty diesel” can badly damage components like the fuel injectors, leading to problems like reduced power, struggling to start the engine, rougher idling, and an increased reliance on lower gears.
In response, the government has been conducting regular and random fuel testing operations at petrol stations across South Africa in an effort to find sites engaged in the illegal practice.
In a recent parliamentary Q&A session, Mantashe said that the Department of Mineral and Petroleum Resources (DMPR) is intensifying efforts to enforce fuel quality compliance in the country.
“The Department has established a fuel sampling and testing programme, mandated by the Regulations Regarding Petroleum Products Specifications and Standards,” Mantashe said.
“As part of this programme, both random and scheduled fuel sampling and testing are conducted to verify compliance with the minimum specifications and standards at retail and wholesale depot outlets.”
He explained that the initiative operates independently from the petroleum industry’s own monitoring systems, ensuring accountability.
The DMPR is also working alongside the South African Revenue Service (SARS) to ensure that fuel distributed in the country complies with national fuel specifications and standards.
The random fuel tests often rely on a substance called Authentix A1 Marker, which is a multi-layered chemical solution that can detect traces of paraffin throughout the fuel supply chain.
The Customs and Excise Act requires this marker and enables authorities to detect fuel tampering.
“Fuel distributed by licensed wholesalers and retailers, particularly illuminating paraffin, is marked with the Authentix A1 Marker,” Mantashe said.
“This allows us to detect and trace the presence of paraffin in diesel and enforce compliance in accordance with the Petroleum Products Act.”
In cases where a station is discovered to be selling adulterated fuel, Mantashe said that a fair process is followed.
“This process allows any allegedly non-compliant service station to make representations,” he said.
“In doing so, considerations such as job security and the security of fuel supply may be brought to the attention of the Controller.”
He added that consumer rights are also considered under the National Consumer Protection Act to promote remedial action for those affected by the dirty diesel sales.
A big problem for motorists
The minister’s warning speaks to a growing concern about South Africa’s fuel quality, which is linked to a larger illicit trade that is estimated to cost the fiscus R3.6 billion per annum.
According to SARS, the illegal mixing and smuggling of fuel damages vehicles and undermines the nation’s revenue stream.
SARS has reported extensive under-declaration of imported fuel, stating that some importers have declared 40,000 litres when they were actually bringing in 60,000 litres.
Storage and distribution depots across the country have also been implicated in fuel adulteration practices.
Avhapfani Tshifularo, executive director of the South African Petroleum Association, warned that the problem is widespread.
“The blending of tax-free paraffin with diesel has become one of the most common practices in the illicit trade,” he said.
Paraffin is supposed to be laced with a tracer dye to prevent abuse, as the substance is meant for household use and should never be used as vehicle fuel.
However, criminals have discovered ways to launder out the marker, allowing them to mix it with diesel while leaving less evidence.
“They set up massive operations to remove the marker. Once removed, the paraffin is mixed with diesel and sold at attractive prices, but it is harmful in the long run,” said Tshifularo.
A telling sign that this is a growing problem in South Africa is the fact that paraffin sales have skyrocketed in recent years.
Five years ago, paraffin sales were around 600 million litres, but this jumped to 1.2 billion litres by the end of 2024, suggesting that a significant portion of this is making its way into diesel supplies.
Motorists are advised to be wary of independent stations selling unusually cheap diesel, and to stick to reputable franchises affiliated with major oil companies.
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