From the 1st April 2015 the UK and Irish Governments will bring in a new product, produced by Dow Chemical Company, to mark rebated fuels, including the off-road diesel commonly known as red diesel (green diesel in Ireland) in an attempt to significantly reduce the volume of illegally-traded fuel. Rebated fuel is strictly limited to agriculture, construction and heating oil use and excise duty on it is charged at a lower rate than standard fuel duty.
Commenting on this move, UFU Deputy President Barclay Bell said; “By introducing the new marker, the Government will hopefully be making it much harder for fraudsters to ‘launder’ rebated fuel (i.e. remove the marker from it) and sell on at a profit. For years launderers have been filtering the fuel through chemicals or acids to remove the government marker but we are hopeful that this new marker will be more resistant to known laundering techniques which in effect will help in the fight against illegal fuel laundering. The Government’s decision to move to a more resistant dye to help protect the legitimate use of rebated fuel by the agricultural industry will be welcomed by farmers who rely so heavily on the off-road diesel.”
Further information on the new marker and on rebated fuel in general can be obtained from the HMRC 08450109000 or visit www.hmrc.gov.uk
