Jobsite Fuel Theft is on the Rise

Author, Jessee Keirstead, Risk Control Consultant, Rancho Mesa Insurance Services, Inc.

Gasoline and diesel theft has emerged as a growing and often underreported risk across Southern California, driven in part by persistently high fuel costs and organized theft activity.

Regardless of where a business is located, construction contractors are particularly vulnerable to fuel theft due to the nature of their operations. Since jobsites are often temporary, unfenced, and located in high traffic or remote areas, they are ideal conditions for fuel theft, particularly where vehicles, generators, and heavy equipment are left unattended overnight. Thieves are targeting bulk fuel storage tanks, fuel contained within equipment and fleet vehicles.

Gas and diesel theft is no longer just a nuisance, and the rising cost of fuel has a direct impact on theft. California’s fuel cost is amongst the highest in the country, creating stronger incentives for theft. Fuel is typically easier to steal than equipment, easier to transport covertly, and stolen fuel has become much easier to re-sell.

Industry data shows construction theft costs between $300 million and $1 billion annually in the U.S., with more than 11,000 incidents reported each year. Fuel is a frequent target because it is easily siphoned, resold, and almost impossible to trace. In many cases, fuel theft may go unnoticed. However, there has been a surge in fuel theft incidents, including events where thousands of gallons have been siphoned from commercial businesses in a single event.

Beyond the direct loss of fuel, contractors face indirect costs including project delays, equipment downtime, and potential environmental liabilities from damaged or drilled fuel tanks.

Solutions

There are two methods contractors can utilize to reduce the risk of fuel theft from their jobsites: physical and procedural.

Video monitoring and mobile towers paired with alarms and analytics can deter thefts and provide evidence for prosecution. Installing good lighting and heavy-duty access controls create minor hurdles that can often deter or frustrate would-be thieves. At a minimum, secure jobsites with fencing, lighting, and surveillance systems, park vehicles in well-lit and controlled areas. If you have equipment or vehicles that will be unmonitored for a significant period of time, you may want to consider securing fuel storage tanks with locking caps and anti-siphon devices.

Modify company procedures to avoid pre-staging vehicles and equipment near public roads overnight.

And, train crews on security measures, spotting suspicious activity, proper locking of gas caps, use of deterrents, and response to theft. If you have noticed suspicious activity, you may want to consider keeping logs and conducting regular checks of fuel levels. Encourage operators to inspect tanks, fuel caps, and equipment to identify any signs of theft as early as possible.

Fuel theft is a costly and growing threat, but it’s one that contractors can manage with a solid layered approach. Combining physical and procedural security measures can reduce the likelihood your fuel will be stolen. Ultimately, prevention is about discipline, consistency, crew training, and rapid reporting protocols. By integrating these strategies, contractors can protect their fuel and keep projects on schedule.