I am advised by the Revenue Commissioners, who are responsible for tackling fuel fraud, that they are very aware of the risks posed to consumers' vehicles, legitimate businesses and the exchequer by all forms of such fraud. Revenue has made great progress in tackling the problem of diesel laundering over the past three years, and reports now indicate the emergence of another form of fuel fraud, commonly referred to as petrol stretching. This involves the illegal addition of a low tax commodity to petrol to defraud the exchequer and the motorist.
Petrol stretching is an offence under section 102 (IA) of the Finance Act 1999. It carries a penalty on summary conviction of a fine of €5,000 or a term of imprisonment not exceeding 12 months, or both a fine and imprisonment. Where conviction occurs on indictment, a fine of up to €126,970, or a term of imprisonment of up to 5 years, or both a fine and imprisonment, may be imposed. Revenue will investigate any reports of illegal activity in this area and pursue prosecutions where possible.
I would like to advise the Deputy that the first point of contact for motorists whose vehicles have been affected by petrol stretching should be the insurance companies they hold their policies with. Further to that, those affected should also contact the point of purchase and seek redress through them. If they remain unsatisfied they may have recourse to civil remedies and as such could seek legal advice.