Yachting Monthly – September 2019

(Sean Pound) #1

Have your say on impact of red diesel ban


NEWS


Sailors have until 9 September 2019
to comment on plans by the UK
Government to ban red diesel for the
propulsion of recreational boats.
Both the RYA and the Cruising
Association (CA) are urging cruisers
to respond to the consultation to
give Her Majesty’s Revenue and
Customs (HMRC) a clear picture
about the impact of changing from
red to white diesel.
The move comes following a
ruling by the Court of Justice of the
European Union (CJEU) in October
2018 which found the UK wasn’t
complying with the EU’s Fuel Marker
Directive (95/60/EC) by allowing red
diesel to be sold on a 60/40 split of
full and lower tax rates for propulsion,
and heating or power generation.
Under EU rules, fuel can only be
sold at less than the full tax rate if it
is marked with a dye.
Sailors should experience no
change in red diesel use both in
the UK and overseas until the UK
Government makes changes to
existing legislation.
The RYA, CA and British Marine
have all raised concerns about fuel
availability for sailors if red diesel was
banned, especially in remote areas
like the popular cruising grounds of
the West Coast of Scotland. Here,
the fuel infrastructure is set up for
the large commercial fishing fleet
market, which only uses red diesel.
The head of public affairs, policy
and research at British Marine,
Brian Clark said due to the cost
of tank installation and the ‘potential
irregularity’ of boats using white
diesel, fuel suppliers in these
areas are less likely to offer both
types of diesel.
‘Sailors will either have to travel
further to fuel up or
will have to bunker
white diesel which
has significant
potential health-
and-safety and
environmental
implications,’ he
stated.
Fuel suppliers in
areas like the
south coast are

The RYA, Cruising
Association and
British Marine all
want a long
transition period if
red diesel is
banned

Fuel supply may be an issue in remote areas

expected to provide white diesel if the
ban goes ahead.
Clark would also like to see a long
transition period of several years to
give the dye in red diesel a chance to
pass through most boat fuel systems.
‘Further clarity on enforcement is
required to ensure the industry has
the appropriate timeframe to adapt.
In addition, we would call on HMRC
to provide financial incentives and
support to ease this transition, such
as contributing to the cost of holding
tanks installation,’ he added.
The CA president, Julian Dussek
believes HMRC should have done a
‘proper statistical survey’ of red
diesel users rather than rely on a
consultation, as the number of
boaters responding ‘might not be
large enough to be helpful or
representative’.

The RYA has made clear that in
the event of a no-deal Brexit it will be
urging the Government to ignore the
CJEU ruling. Its director of external
affairs, Howard Pridding, said: ‘I have
looked a lot at Brexit and spoken to
as many politicians as possible and
a number are saying that the
Government plans to honour the
existing judgments by the CJEU, but
this is not cast in stone. We are arguing
that if there is a no-deal Brexit then
why implement the CJEU’s ruling?’
He is also concerned that the
cost of fuel could increase due to
infrastructure changes, deterring
future boating participation.
Further details are at: http://www.gov.uk/
government/consultations/
implementation-of-the-court-of-justice-of-
the-european-union-cjeu-judgment-on-
diesel-fuel-used-in-private-pleasure-craft.

Jo

hn

M

or

ris

on

/^

Al

am

y

Gi


llfo


to


A


las


ka


/^


St


oc


kim


o^


/^ A


lam


y^ S


to


ck


P


ho


to


If you have a news story to share, contact News Editor Katy Stickland
Email [email protected] Te l 01252 555 166

Katy Stickland
News editor
Free download pdf