Protect Your Business: Best Practices for Diesel Use
With the recent reinstatement of red diesel for arborist use, many in the industry have breathed a sigh of relief. The ability to use red diesel in machinery and appliances for all tree work is a welcome change, offering significant savings for businesses. However, it’s important to remember that while red diesel is now legal again, there are strict rules about where and how it can be used—and failing to follow them could lead to heavy fines.
In this blog, we’ll discuss the importance of using the correct diesel, what you need to know about compliance, and how to protect your business from penalties.
Why the Right Diesel Matters
While red diesel is cheaper than white diesel, it’s only allowed for specific uses in off-road machinery and appliances. This means that the diesel you use must be appropriate for the equipment it’s powering. Using red diesel in vehicles driven on public roads or in equipment not covered by the regulations can result in severe penalties from HMRC.
Here’s what to keep in mind:
- Red Diesel for Off-Road Use Only: Red diesel is dyed to differentiate it from white diesel, and it’s taxed at a lower rate for specific uses. Arborists can use red diesel in machinery like chainsaws, stump grinders, chippers, and other tree care equipment, but not in vehicles that are driven on public roads.
- White Diesel for Road Vehicles: Any vehicle that is used on public highways must run on white diesel. Red diesel is strictly prohibited for these purposes, and HMRC actively monitors for misuse.
Spot Checks Are Increasing
We’ve received reports from customers that HMRC is conducting spot checks on sites to ensure that red diesel is only being used in permitted equipment.
During these checks, fuel samples are taken from machinery to verify compliance. If inspectors find red diesel in road vehicles or unauthorized equipment, heavy fines may be imposed on the business.
The penalties for misuse can include:
- Heavy fines: Businesses found using red diesel illegally can face substantial financial penalties.
- Confiscation of vehicles: In some cases, vehicles using red diesel illegally may be impounded.
- Business disruption: Spot checks and legal proceedings can disrupt operations, costing your business time and money.
Protect Your Business: Best Practices for Diesel Use
To avoid costly mistakes, it’s essential to follow best practices for using red diesel in your arborist operations:
- Know What Equipment is Eligible: Ensure that you are only using red diesel in off-road machinery, such as chainsaws, chippers, and stump grinders. Any vehicle that travels on public roads must be fuelled with white diesel.
- Keep Documentation Handy: If your site is inspected, having proper records and documentation readily available can streamline the process and demonstrate compliance. Keep receipts and records of diesel purchases and usage, clearly noting which fuel is used in which equipment.
- Train Your Team: Make sure your team understands the regulations around red diesel use. Conduct training sessions to educate employees on which equipment is eligible for red diesel and how to avoid costly mistakes.
- Be Ready for Spot Checks: HMRC may arrive without warning to conduct checks on your fuel use. Being proactive by ensuring that your business is fully compliant will save you from potential fines and disruptions.
Avoiding Fines and Penalties
Misusing red diesel isn’t just a small mistake—it can lead to significant financial and legal consequences. To ensure your business is protected, always:
- Use red diesel only in the equipment that is authorized.
- Avoid cutting corners by using red diesel in road vehicles.
- Stay updated on any changes in regulations by monitoring guidance from HMRC and industry associations.
Final Thoughts
The recent changes in red diesel regulations are a great win for the arborist industry, allowing businesses to save on fuel costs for equipment use. However, it’s crucial to remain vigilant about where and how you use this fuel. Non-compliance can result in severe penalties that could outweigh the savings from using red diesel. By following best practices and staying compliant, you can keep your business running smoothly while avoiding costly mistakes.
