Sanitation workers continually deal with fatbergs – congealed lumps of oil and grease, female sanitary products, condoms, personal wipes (which aren’t flushable, even though the containers say they are), and other waste items. Toilet paper usually isn’t the cause of any problems; it’s designed to disintegrate quickly when wet.
The fat comes from our skin and hair, when we wash away body oils, moisturizers, and cosmetics. Bar soap and body cleansers have fat or oil bases, plus people use bath oils. All this stuff ends up in the sewer system.