UK Wide Legislation abolishing Red Diesel on construction sites

As I am sure you are fully aware, there are legislative changes coming into effect on 1st April 2022 which mean that rebated red diesel will no longer be allowed to be used on construction sites in the UK. Red diesel (gas oil) can however still be used after 1st April 2022 within agriculture, horticulture, fish farming, forestry and on golf courses. This will mean that 99% of UK construction sites will no longer be able to use red diesel and will have to use white diesel instead. It is down to each individual construction site to ensure full compliance with the new regulations. Naturally H.E. Services will comply fully with the new regulations regarding the supply of plant to our customers. We detail below some specific areas that all customers should be aware of:

  • Bowsers on hire. Clients must completely run down their stocks of Gas Oil (Red Diesel) before 1st April 2022, flush out and replace with White Diesel (DERV) or white HVO (EN15940 standards) by 1st April 2022.

  • Machines on hire. Gas Oil (Red Diesel) in the tanks of machines prior to 1st April 2022 can still be used after the 1st April 2022. Machine tanks do not require flushing. After 1st April they MUST only be refilled with White Diesel (DERV).

  • H.E. SERVICES will only be filling machines and bowsers with White Diesel (DERV) from the 1st April 2022.

  • Clients in those few sectors that are still permitted to use Gas Oil (Red Diesel) must advise H.E. SERVICES in advance if they wish to use Gas Oil (Red Diesel) in our machines or bowsers. Agriculture, horticulture, fish farming, forestry and golf courses can be deemed exempt from using DERV and can continue to use Gas Oil (Red Diesel) in most circumstances. Upon return, if any machine or bowser is found to have been filled with Red Diesel, charges will be levied to replace filters & flush the system.

  • Prices for White Diesel (DERV) has not been agreed due to the fluctuating fuel market.

  • Further information can be found at:

https://www.gov.uk/government/publications/reform-of-red-diesel-entitlements/reform-of-red-diesel-and-other-rebated-fuels-entitlement

We have no doubt that there will be a team of HMRC inspectors visiting the majority of UK sites starting on 1st April 2022, to ensure full compliance with the new restrictions. We would urge all customers to be fully aware of the new regulations and be fully compliant, without exception. We realise that this is going to cause a substantial increase in fuel costs as well as an increase in attempted and actual fuel thefts from site, both of which are outside the control of H.E. Services.

We are investing in a fleet of site towable 2000 litre fuel bowsers, dedicated for White Diesel (DERV) only. These bowsers will be securely lockable and will have dispensing meters within the locked dispensing area. They will also have electric fuel pumps on board to be able to fill machinery much more easily and these will be powered from on board batteries, charged by solar panels mounted on the roof of the bowser. Provided the bowser is orientated correctly on site so that the solar panels face south, there should be adequate battery charging to power the on-board pump for most fuelling requirements. There is also an emergency hand pump which can be operated in case the batteries go flat but there should be sufficient power in the batteries to last for quite a few days, even in the not so sunny periods in the winter. These bowsers will start being available in April 2022.

Thank You.

Peter Durey

Managing Director