News Releases

ENOC and Dubai Government entities tackle illegal diesel and lubricants trading

March 19, 2017

  • Six Dubai Government departments successfully partner to regulate the illegal trade of diesel and lubricants
  • Phase two of the campaign included inspections on lubricants for the first time to ensure that all products sold in Dubai are up to international standards

Dubai, United Arab Emirates (UAE); March 19, 2017: In collaboration with key government entities, Emirates National Oil Company (ENOC), a wholly-owned entity of the Government of Dubai recently concluded the second phase of inspections aimed at curbing illegal diesel trading. For the first time this year, ENOC has also joined hands with government entities to address the illegal trade of lubricants in Dubai.

the inspections campaign was a result of a multi-sector collaboration between Dubai Police, Dubai Civil Defence, Dubai Municipality, Emirates National Oil Company (ENOC), Department of Economic Development in Dubai and The Ministry of Human Resources and Emiratization. The committee aims to bout the illegal trade of off-spec diesel and lubricants, inadequate storage and handling of products which undermines the security and safety risk to the country.

The Dubai Government entities joined hands to inspect nine companies in Dubai, where a number of trading companies and agents were penalised for numerous violations ranging from the use of unsafe fuel and lubricants storage facilities to illegal trading of off spec products.

His Excellency Saif Humaid Al Falasi, Group CEO of ENOC, said: "We leave no stone unturned to raise the standards of all our products in the UAE and abroad. The UAE imports and produces best-in class-products and for that, we need to ensure the highest product quality standards to maintain our position as a market leader both locally and internationally. Through our collaboration with key government authorities, we are committed to curb illegal trading of diesel and lubricants, and are ready to take the necessary steps towards any violation when it comes to product quality, environment, health and safety standards."

According to specifications under Federal Cabinet decision no. 37 of 2013, organisations in the UAE must only market or use ultra-low sulphur diesel, containing less than 10 parts per million (ppm) of sulphur. Illegal diesel is fuel that contains more than 10part per million of Sulphur, and is in direct violation of UAE law. The Emirates Authority for Standardization and Metrology (ESMA) has also recently mandated upgrading the engine oil technical specifications set by the American Petroleum Institute to a minimum of API CH-4 for diesel engines and API SL for petrol engines. In addition, ESMA has mandated the registration of lubricants sold in the country to monitor product quality and standards.

The inspections identified a number of companies in violation of legal specifications. Some of the inspected companies did not present the required certifications from ESMA, while others were fined for their violation of environmental preservation by the Dubai Municipality. The Department of Economic Development fined companies who were found in direct abuse of the Federal law and trade license, whereas the Ministry of Human Resources and Emiratization reviewed work permits for each employee and fined companies who were unable to present the required employment documentation upon the inspections.

"The success of these inspection campaigns is a true testament of the successes yielded though multi-stakeholder collaborations between key Dubai entities, especially when the public's safety and environmental considerations are compromised. The success of these inspection campaigns is a gratifying development as it proves that a multi-stakeholder collaboration between Key Dubai authorities is once again successful. I would like to extend our sincere thanks to all the participating entities." Concluded Al Falasi.

ENOC in the past has held six inspections during 2015-16 along with different Dubai Government entities to raise the environment, health and safety standards in the country. The inspection campaigns will continue until it is clearly visible that all organisations in the oil sector adhere to the regulations and standards set by the UAE.

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