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Theft of Heating Oil & Diesel

INTRODUCTION


A rise in the price of fuel at the petrol pump inevitably leads to a rise in the costs of heating oil.  This makes oil a more attractive proposition for thieves who are targeting fixed surface fuel tanks at farms, transport depots and domestic properties.  The thieves may be using the oil for their own central heating or selling it on at a handsome profit.


The amount of fuel stolen, and the methods employed vary, ranging from the decanting or siphoning into cans or drums, to pumping into bulk tanks mounted in or on criminals’ vehicles. In addition to the monetary loss of fuel, such attacks can also result in serious ground or water course pollution in circumstances where sight tube gauges or supply pipes are smashed or cut and the oil allowed to run free, often long after thieves have left the premises.  In these situations, clean-up costs and possible action by the regulatory authorities can far exceed the value of the fuel stolen. 


It should be noted that these thefts are not only committed in areas of high crime but also commonly perpetrated in less populated rural areas and farms.


Standard theft cover (forcible and violent entry to, or exit from a building) does not extend to the contents of external oil tanks, although such cover may be given if requested and is part of the cover given by Rural Insurance in their farm products. Nonetheless, sudden and unforeseen pollution and the associated clean-up costs arising from an oil tank theft is likely to fall within the scope of the PL cover provided by most, if not all, of RiskSTOP clients and commonly as part of a commercial combined policy, and as such is something we should not ignore.

 

RISK CONTROL


Typically, there is no single solution to the problem. As far as existing tank installations are concerned, Consultants should assess the risk having regard to features such the value and quantity of the oil in store, the location of the tank and the presence, if any, of external perimeter security, general security protections for the premises as a whole, known loss experience as regards the Policyholder and the area in general, and the proximity of any nearby rivers or other water courses. In circumstances where the risk is considered unfavourable, additional security protections/measures may be required based on one or more of the following:


  • Physical perimeter protection of the tank or the area in general.

  • Security lighting.

  • CCTV.

  • Physical security of vent caps, inspection apertures, filling points, dispensing nozzles, etc.

    A range of products are available from specialist oil tank supply and service companies. One such supplier is Southern Tank Services, product examples of which can be viewed at; https://www.tankservices.co.uk/for-sale/tank-locks-and-security/

  • Installation of anti-siphon devices.

  • Physical security of oil supply pipe work.

  • Isolation of electric pump controls out of working hours.

  • Removal of empty containers or drums from the area around the tank which could be used by opportunist thieves.

  • Specialist tank alarm systems to detect lifting of the inspection cap or falling oil levels.

    Regrettably, there is no approvals scheme for this type of equipment, which must therefore be treated with a degree of caution. Whist it may be possible to link such devices into the main intruder alarm system, it is most unlikely that they would be considered acceptable for formal police response. Nevertheless, circumstances could arise where such devices linked to audible alarms and, possibly, remote telecoms, may be considered to provide worthy protection.


We would kindly ask that Consultants keep the Head of Risk Engineering and Surveys updated with experiences in the field, in order that we can keep our knowledge on this aspect to the fore to the benefit of our Clients and the Surveys team.

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