What’s Happening to Red Diesel?
January 15, 2022
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From 1st April 2022, red diesel will be unavailable to the vast majority of users meaning their fuel will now cost more. Red diesel is simply white diesel with dye added, and has been used for off-road purposes such as construction. The advantage being that red diesel is taxed at a much lower rate, as roads are not being impacted by machinery etc. White diesel is taxed at 57.95 pence per litre [ppl], while red diesel rebate has enabled users to pay only 11.14 ppl.
Widespread efforts towards greener solutions has meant that all involved in the fuel and other industries have had to rethink the way they do things. A minority will still be able to use red diesel, but this will depend not on what the equipment is, but how it is used. If for instance a machine can be used for both construction and agriculture, it must only be used for agriculture to use red diesel. Many will be a little confused about whether the ban affects them or not, and guidelines are available on the government website here.
One of the considerations facing those who will be using red or white diesel is that they may become more vulnerable to theft. This is due to the rise in value of all diesel, and one of the largest at risk groups will be construction companies. As plant machinery and stocks of fuel are often left on-site at times of inactivity, security should be a priority.
How to Avoid Theft
An increase in diesel theft is already being reported, meaning extra surveillance measures are required. Fortunately smart technology can help with these issues, such as smart fuel tasks and locks along with fuel level monitors and alarms. Whether it’s theft or leakage, you will be informed by these systems via your smartphone.
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