Lubricant systems are fundamental in engines (automotive, aviation, rail etc.) and in any industrial system where surfaces of moving mechanical parts are in contact. An improper lubrication due to oil degradation over a long period of time can lead to unwanted component failure and increased maintenance costs. Present study, unlike methods developed until now for detecting oil degradation (loss of mechanical, physical, chemical and optical properties) focuses on the development of a Surface Plasmon Resonance (SPR) transduction methodology able to measure lubricant degradation in real time observing the change in the refractive index. This approach answers to environmental regulation and user requirements on performance, lifetime expectancy and engine efficiency.