Authorities have dismantled an unlicensed fuel operation in Vientiane Capital after inspectors discovered it was producing fuel from plastic waste and used engine oil, with sulfur levels registering more than 130 times above the Euro 6 standard of 10 ppm.
On 4 April, the Fuel Quality Management Committee inspected a factory along National Road No. 13 South. Inspectors found the facility had installed machinery to grind plastic waste and distill used engine oil into fuel, all without a business license, quality certification, or payment of taxes and duties.
A large stock of finished fuel was already on the premises, prepared for distribution to general petrol stations across the city.
Laboratory analysis confirmed the sulfur content at 1,331 parts per million (ppm). Sulfur concentration in fuel, measured in ppm, indicates how refined and clean a product is; the lower the level, the safer it is for both engines and the environment.
At this level, the seized fuel causes rapid engine buildup, accelerates wear on components, produces heavy black smoke, and significantly shortens engine lifespan. Consumers who unknowingly fill up with such fuel pay the full market price while their vehicles bear the damage.
Burning high-sulfur fuel releases toxic fumes and fine particulate matter (PM2.5) that are directly harmful to public health, particularly for drivers and residents along busy roads. This concern is especially urgent in Vientiane Capital, where air quality already hit an “unhealthy” level on 5 April, with PM2.5 surpassing 240 on the Air Quality Index (AQI).
Improvised refineries of this kind also lack proper safety systems, posing a serious fire and explosion risk to surrounding communities, while the state loses tax revenue that would otherwise fund national development.
Officials have seized all evidence and are pursuing enforcement action under applicable regulations.
