Red diesel in the balance

THOUGH boaters can legally use red diesel for their boat engines, saving on taxation, this is again to be contested by the European Union.

Already yachtsmen visiting continental boats using red diesel have been heavily fined, and after the 1st April when they purchase red diesel they must declare it will only be used in United Kingdom waters.

Outlawed

But even this is likely to be stopped, if the European Union gets its way, with yachtsmen having to pay full price for their fuel no matter where used, that will of course mean boaters on inland waters will also be affected, with red diesel outlawed.

The Belgium government's interpretation of the European Union legislation is that it does not allow the use of the cheaper red diesel for leisure vessels, and thus member states must conform.

Infringes European law

At present both the British and Irish governments disagree.

It is only the European Court of Justice that has the power to decide if the use of red diesel is illegal or not, and the commission has already referred the matter to that Court.

However on Monday, Chloe Smith, Economic Secretary to the Treasury, explained that changes would be made in view of the challenge by the European Commission to the United Kingdom practice of allowing marked red diesel with the full duty paid to be used in this way, maintaining that it was contrary to European Union legislation on the marking of fuels.

Which is somewhat ambiguous.