The Government Chief Whip in the Seanad has welcomed the establishment of a mobile testing unit for petrol stretching.
Kerry Senator Paul Coghlan says this is a major development in tackling petrol stretching which is not alone damaging vehicles, but impacting the trade of legitimate businesses.
Earlier this year, the British-Irish Parliamentary Assembly published a report on fuel laundering.
It found that this illegal practice remains a huge problem, particularly in border counties.
Kerry Fine Gael Senator Paul Coughlan says fuel fraud poses a serious threat to legitimate businesses, motorists and Exchequer revenues.
The Senator added that the Government is pursuing these matters with their counterparts in the North and since April, mobile testing equipment allowing for on the spot analysis have been in operation.
Finance Minister Michael Noonan has also put in place legislative provisions to underpin the initiative.
Since 2011, 31 oil laundries have been detected and closed down. More that 3 million litres of fuel have been seized and 139 filling stations were closed for trading without a licence or breach of licence provisions.