Wash Plant Uncovered Outside Potchefstroom As Authorities Crack Down on Illicit Fuel Network

• A suspected illegal fuel operation has been discovered on a farm outside Potchefstroom in the North West
• Criminals were allegedly stripping chemical markers from paraffin to pass it off as diesel
• Fuel adulteration of this kind costs the South African fiscus an estimated R3.6 billion per year and produces a toxic, low-quality product

NORTH WEST, POTCHEFSTROOM - Authorities uncovered a suspected illicit fuel operation on a farm outside Potchefstroom in the North West. Criminals were allegedly running a wash plant to remove chemical markers from illuminating paraffin and convert it into fake diesel.

The discovery forms part of a broader crackdown on illegal fuel networks operating across South Africa, which have become sophisticated and damaging to both the economy and ordinary consumers.

What is a fuel wash plant?

An illegal fuel wash plant works by chemically stripping the red or yellow dye markers that the law requires to be present in illuminating paraffin.

Read also

New study finds pharmaceuticals, pesticides and heavy metals contaminating False Bay waters

Paraffin is taxed at a much lower rate than diesel, making it far cheaper to buy. Criminal syndicates exploit this price difference by buying paraffin in bulk and removing its identifying markers through an acid and filtration process.

They then sell the treated product as diesel at a profit. The result is a contaminated, low-quality fuel that consumers and businesses unknowingly put into their vehicles and machinery.

This adulterated fuel can clog fuel systems, damage engines, and cause mechanical failures over time.

According to the South African Revenue Service, fuel adulteration costs the country around R3.6 billion in lost tax revenue every year.

SARS has also established that some importers are declaring far less fuel than they actually bring into the country.

How big is the problem nationally

SARS and SAPS have been working together through NATJOINTS to tackle illicit fuel networks across Gauteng, Mpumalanga and KwaZulu-Natal.

Read also

Birth control supply squeeze leaves SA women struggling at clinics

In one set of recent operations, authorities detained more than 953 000 litres of contaminated diesel, shut down six fuel depots operating in breach of customs and excise laws, and seized assets and fuel worth over R367 million.

Two wash plants were also found, including one mounted on a mobile transport truck, which made it harder for authorities to track.

Twelve fuel transport trucks were flagged for suspected false declarations on fuel imports, and 13 criminal cases were opened as a result of the operations.

The Potchefstroom discovery adds another location to a growing map of illegal operations, and investigators believe organised criminal networks are behind much of the activity.

SARS Commissioner Edward Kieswetter has previously warned that the syndicates involved have become bolder.

More on fuel and cost in SA

South African motorists are paying R28.06 per litre for 95-octane petrol in June 2026, but a breakdown of what the government takes in taxes and levies shows the base price would be lower without them.

Iran threatened to close the Strait of Hormuz again after renewed Israeli strikes on Lebanon, raising fresh concerns about global oil supply disruptions.

Read also

"An epic throwback": The incredible KZN shipwreck that turned a beach into a tourist hotspot

Cape Town commuters are bracing for MyCiTi bus fare increases of between 32% and 50% starting in July 2026.

Source: Briefly News