The Australian Institute of Petroleum has welcomed the Federal Government's decision to crack down on illicit fuel blending activities, but has urged wider reform to stop the problem re-occurring in the future.
"Today's announcement by the Assistant Treasurer, Senator Rod Kemp, that the Commonwealth will impose an excise equivalent on imported toluene and other substances, is good news for motorists and honest petrol retailers," the Executive Director of AIP, Mr Jim Starkey said.
"The decision will stamp out the immediate problem of toluene being blended with petrol to avoid excise, and then being sold to unsuspecting motorists.
"The crackdown also applies to benzene, xylenes and mixed alkylbenzenes.
"AIP welcomes the fact that the Senator Kemp has moved on the immediate problem, and we look forward to working further with the Government on a long term solution to stamp out fuel rackets once and for all.
"The best way to stamp out these scams once and for all is to remove the incentive to blend fuels by introducing uniform excise rates across all petroleum products," Mr Starkey said.