Red Diesel and Plant Hire

Red Diesel Bowser

Can I Use Red Diesel With Hired in Plant?

No, from 1 April 2022, it will be illegal to use red diesel in plant and machinery used for construction work.

The Construction Plant-hire Association (CPA) urges construction plant owners, their clients, and customers to be prepared for the changes. Plant-hire companies that operate plant and machinery in construction that use red diesel must fill tanks with white diesel or duty-paid biofuels.

Companies can continue to operate plant with any red diesel already in a vehicle or machine’s engine from 1 April 2022, but they will not be allowed to refill fuel tanks with red diesel from this date onwards.

Note: “Red” diesel can continue to be used by operators for plant and machinery hired out to clients if it is used solely for agricultural or forestry purposes.

The CPA has provided guidelines to help everyone within and connected to the plant-hire industry to be aware of the changes. Download the pdf

The HMRC has a comprehensive paper on the reform of red fuels and entitlements.

What is “red” diesel?

“Red” diesel is essentially the same as standard mineral diesel, but with the addition of a red dye to indicate that it is taxed at a lower rate than white diesel. The dye and chemical markers do not affect the fuel’s performance or functionality. This lower-taxed fuel is known as a rebated fuel.

For more questions and answerers, please visit our Plant Hire FAQ’s page.