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Fuel, Fraud and Forecourts: Mantashe Targets South Africa’s Diesel Dilemma

Cheap Diesel Could Be Costing You More Than You Think

If you’ve ever been tempted by diesel that’s just a little too cheap at the pump, here’s your wake-up call.

South Africa’s Minister of Mineral and Petroleum Resources, Gwede Mantashe, has put the country’s fuel stations on notice: fuel testing is ramping up, and stations caught selling tampered diesel will be held accountable.

This isn’t just a bureaucratic crackdown. It’s a response to a multi-billion-rand crisis, one that affects your car, your wallet, and the country’s already-strained economy.

What’s Really in Your Tank?

At the heart of the issue is fuel adulteration, particularly the illegal blending of tax-free paraffin with diesel. It’s a dirty trick that makes fuel cheaper for shady dealers and service stations, but it’s terrible news for the engines that run on it.

Here’s why it’s happening: paraffin costs R6 to R7 less per litre than diesel and, crucially, it isn’t taxed. That price gap has become a goldmine for criminal networks who launder out the paraffin’s tracer marker, mix it into diesel, and sell it at appealing prices.

It’s widespread, it’s dangerous, and it’s costing South Africa more than just vehicle repairs.

The Fiscal Fallout: Billions Down the Drain

According to SARS, South Africa is losing at least R3.6 billion every year thanks to illegal fuel practices. That includes not just adulterated diesel but also under-declared imports, where fuel smugglers report importing 40,000 litres while actually bringing in 60,000.

The knock-on effect? Legitimate businesses suffer, vehicles break down from contaminated fuel, and public funds disappear into black market pipelines.

And it’s not just happening out of sight. As Avhapfani Tshifularo, Executive Director of the South African Petroleum Association, puts it: “The scale is shocking.” In just five years, paraffin sales have doubled, from 600 million litres annually to over 1.2 billion by the end of 2024.

That doesn’t reflect a sudden spike in households switching to paraffin heaters. It reflects massive volumes being siphoned into the diesel supply.

What Government’s Doing About It

Mantashe isn’t standing by. He revealed that the Department of Mineral and Petroleum Resources (DMPR) has launched a fuel sampling and testing programme under national regulations. The effort includes random and scheduled tests at both petrol stations and depots.

Key to the investigation is the Authentix A1 Marker, a chemical tracer added to paraffin that allows officials to detect illegal blending. This marker is required by law under the Customs and Excise Act, giving the government a legal foothold to pursue offenders.

And this isn’t a quiet audit. The programme runs independently from the petroleum industry’s internal checks, meaning there’s no room for turning a blind eye.

Mantashe stressed the collaboration between the DMPR and SARS in tracing non-compliance, with tools and legislation that allow them to act swiftly, but also fairly.

Petrol Stations: Under the Microscope

Importantly, Mantashe clarified that non-compliant stations aren’t shut down without due process. They’re allowed to make representations, especially when issues like job losses or fuel supply disruptions are at stake.

But make no mistake: the pressure is on.

With South Africa’s forecourts largely unregulated, especially for diesel prices, consumers are urged to stay vigilant. “Be wary of unusually cheap diesel,” Tshifularo warned. “Stick to service stations affiliated with major oil companies.”

Because when fuel looks too good to be true, it often is.

South Africans Speak Out

The public reaction on social media has been mixed. Many praised the government for finally addressing an issue long ignored. “About time someone dealt with this diesel fraud mess!” wrote one user on X (formerly Twitter). Others, however, worry that crackdowns might lead to fuel shortages in smaller towns where independent stations dominate.

Meanwhile, fleet operators and farmers, who rely heavily on diesel, have called for better education campaigns to help them identify and avoid adulterated fuel and protect their livelihoods.

Where Do We Go from Here?

South Africa’s diesel crisis isn’t just about bad fuel. It’s a mirror to a deeper problem: the rise of illicit economies in the gaps left by regulation and oversight. From fuel depots to border posts, a culture of corner-cutting has cost the country dearly.

But this time, the government seems determined to act.

Whether it will be enough and whether enforcement will reach beyond a few showy inspections, remains to be seen.

In the meantime, if you care about your engine and your economy, think twice before chasing the cheapest litre.

{Source: The Citizen}

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