Red Diesel Fuel Explained – An Easy Guide
Whether you have or haven’t heard of red diesel before, our guess is that you will always have questions regarding its usage, purpose or legality. Red diesel (the marking of rebated gas oil) has been around since 1961 – specifically intended for off-road use. The rules and regulations surrounding its use are changing, so it’s imperative that you keep up to date so that you remain on the right side of the law.
As a UK leading supplier of red diesel, we are frequently asked questions from our commercial and industrial customers regarding its usage. This page provides a detailed insight without boggling your head with too much jargon!
Before we begin talking about red diesel, it’s important to point out that this is a specialist diesel fuel which can only be used under certain circumstances within certain industries. This guide to red diesel is designed to educate and enlighten, however for individual requirements and laws surrounding your usage, please refer to a specialist red diesel supplier or check with HMRC for further information on red diesel.
If you would like today’s latest red diesel price, please call 0330 123 1444 and one of our team will be more than happy to assist you.
What is red diesel?
Red diesel is a marker-dyed version of the better known and commonly used, road diesel. Unlike red diesel, road diesel which is also known as white diesel has no legalities to its usage. The red marker dye was originally added to help HMRC and other law enforcement officers recognise the illegal usage of red diesel and prosecute those doing so.
This may seem like a harsh thing to do, but red diesel is a rebated fuel which means you don’t pay as much tax on the purchase of it, therefore using red diesel in your car on the road, rather than using road diesel, could land you in a whole heap of trouble if you’re caught.
What does red diesel cost? How much is the duty on red diesel?
The price of red diesel is a lot cheaper than regular road diesel because of the tax relief which you get on it. The rebated rate of duty for red diesel is 11ppl whereas regular diesel has a main duty rate of 58ppl. Prices for crude oil change frequently and so the prices of red diesel differs from one day to the next and prices change depending on your supplier, quantity and location.
Therefore, red diesel costs considerably less than regular road diesel but it isn’t for everybody – and using it illegally can cost you much more in fines and prosecution.
What is the purpose of red diesel?
The original purpose of allowing diesel-engine vehicles to use red diesel was to provide tax relief when the use of the public roads was incidental or minor.
The industries which benefit from rebated red diesel are:
- Travelling fairs and circuses
- Fuel used for non-commercial purposes – electricity generation and heating
- Agriculture, horticulture, fish farming and forestry
- Rail transport
- Community amateur sport clubs and golf courses
- Sailing, boating and marine transport (excluding private pleasure craft in Northern Ireland)
Red diesel and its variations
Red diesel, just like many other fuels, has picked up one or two names over the years so you may hear one person refer to it as something which you don’t understand. You don’t have to be a polyglot to know the different names as they’re quite easy to understand, so here is a list of the many variations for red diesel:
- Gas Oil
- Cherry Diesel
- Medium Diesel
- 35 Seconds
- Tractor Diesel
- Agricultural Diesel
- Generator Fuel
All of the listed names are for the same fuel but because of the many industries in which red diesel is used, it’s inevitable that slang terms like those above will always be made to refer to it.
If you would like to learn more and discuss your red diesel requirements with our friendly team, call us today on 0330 123 1444 to learn more about how we can help you.