I thank Deputy Dara Calleary for raising this matter. He had already acknowledged the presence of Deputy Denis Naughten in the Chamber. Deputy Naughten raised the issue previously, most recently when we were discussing legislation.
I echo the sentiment of Deputy Calleary about the sheer frustration felt by people who, through no fault of their own, have seen serious damage done to their cars and their cars written off. This has a devastating impact on families' lives as they go about their daily business.
All forms of fuel fraud impose risks to consumers' vehicles, legitimate businesses and the Exchequer. Accordingly, both the Revenue Commissioners and the State laboratories are directing their resources to tackle the issue. Revenue has, over the recent past, received reports from a variety of locations around the country of problems relating to petrol quality, and suggestions that these problems are attributable to petrol stretching. Revenue investigates all complaints of this kind and fuel samples are taken from filling stations and referred to the State Laboratory for analysis where the investigating officers have reason to suspect excise fraud. The State Laboratory makes use of an array of tests to determine whether an adulteration of the petrol has occurred.
A total of 79 samples of petrol from filling stations in the Border, midlands and western region have been referred for analysis to the State Laboratory following checks conducted from June 2014 to date. Conclusive results have been received in one case which confirm contamination through the presence of kerosene, and a file is being prepared for prosecution in this case. A second positive contamination result is currently under investigation. I expect progress to continue. To date, no evidence of fraudulently contaminated petrol has been found in the remaining samples. In addition to analysing samples referred to it, the State Laboratory is providing technical and scientific support for the ongoing investigations.
The analysis of potentially stretched petrol is a complex one which, to date, has involved a significant level of time-consuming, non-routine testing, and it requires further investigation. It is appropriate that such a level of time is attached to such an important matter. The volume of samples sent for analysis has necessitated a reallocation of resources within the State laboratories.
As with many other Civil Service offices and Departments, both the Revenue Commissioners and the State Laboratory are subject to the employment control framework, and I do not need to tell Members about its impact on staffing levels over the past five years. However, the laboratory has prioritised the testing of all samples submitted in connection with the petrol stretching issue, and all staff who have the necessary experience and expertise in this area are currently being deployed to work on these samples. I welcome that prioritisation.
Petrol stretching is an offence under section 102(1A) of the Finance Act 1999 and carries a penalty on summary conviction of €5,000 or, at the discretion of the court, imprisonment for a term not exceeding 12 months, or both. If it is an indictable conviction, the fine is up to a maximum of €126,970 and the prison term is up to a maximum of five years, or both.
If Revenue's investigations and the analysis of fuel samples by the State Laboratory indicate the presence of illegal stretching agents in petrol, Revenue will take action and pursue prosecutions against offenders where possible. As part of Revenue's normal operating procedures, fuel delivery tankers are challenged when encountered by enforcement officers throughout the Border, midlands and western region. No cases of contaminated petrol have been identified as a result of these checks from June 2014 to date.
Motorists should report any suspicions to the Revenue Commissioners, which has recently launched a dedicated section of its website specifically dealing with the shadow economy. This includes a reporting facility for anyone who has information about shadow economy practices, including the adulteration of fuel. I encourage everyone to make use of, and promote, that facility.
