The Department of Mineral Resources and Energy\u00a0has its sights set on companies – particularly retailers – that have been selling “adulterated” diesel in attempts to cut costs and evade tax.<\/p>\n\n\n\n
This comes after the department found that 70 out of 1000 samples it had taken from service stations across the country showed results of ‘watered-down’ diesel – a mix of diesel and illuminating paraffin.<\/p>\n\n\n\n
Deputy Director General of the Department of Mineral Resources and Energy, Tseliso Maqubela\u00a0said that not only is this practice dangerous, as it seriously damages vehicles, but it is also a major form of tax evasion, with profiteers seeking to avoid the road accident and fuel levies. <\/p>\n\n\n\n
There are over 5,000 filling service stations across the country. Maqubela fears that this issue may be much more widespread as the department continues its investigations. <\/p>\n\n\n\n
He does, however, doubt that watered-down diesel would be found at big-name “reputable” service stations. <\/p>\n\n\n\n
“You don’t find the non-compliance samples from your major dealers that are linked to major oil companies,” said Maqubela. “It is the ones that are run by non-refining wholesalers… unfamiliar brands,” he added.<\/p>\n\n\n\n
As of now, the department has informed the South African Revenue Service (SARS) of the non-compliant retailers to begin its process of recouping money that is owed to the state.<\/p>\n\n\n\n
Maqubela said that the department has also issued letters of non-compliance to the retailers found with the dodgy diesel, for which they have to argue why they should not be shut down. <\/p>\n\n\n\n
While not promoting the “big oil companies”, Maqubela said that the safest option might be to fill up at reputable service stations as motorists are “highly unlikely (to) find a sample that has been adulterated”.<\/p>\n\n\n\n
Maqubela said big corporations “wouldn’t risk being on the opposite side of the revenue authorities given the size of their companies.”<\/p>\n\n\n\n
No major company has been found with adulterated diesel so far.<\/p>\n\n\n\n