We all heard of normal diesel at one point or another. It is a combustible liquid used a fuel for diesel engines, and is most commonly used in road cars, however red diesel is different, so what is it exactly?
Red diesel is the term used for gas oil that is intended for use other than as fuel in road vehicles. Red diesel is most commonly used in a range of different industries and applications like agriculture, where it is used for tractors and mowing machines on a farm. Also, construction, red diesel is most commonly used to power plant machinery which is simply just all the machinery used by a business to produce an end product, like a building for example. I named described two of multitude of fields red diesel is used in, there are many more like heating and mining also.
What is the difference between red diesel and normal diesel?
Red diesel is exactly the same as normal diesel (also called white diesel), however red diesel has had red dye added to it in order to catch people using it in road vehicles, this red dye is where red diesel gets its name. But why can’t people use it in road vehicles? It is common to hear that red diesel is illegal and should not be used. That statement is true but only for using red diesel on road vehicles. Red diesel has different tax rates compared to white diesel, red is cheaper due to its rebated tax rates, meaning that when you power your car with it, it is considered tax evasion and is illegal. You are only allowed to use it in the previously mentioned industries, or it is illegal. The red dye stains the inside of the fuel tank making it visible if you used it or not.
So, there it is, red diesel isn’t significantly different to white diesel, just dyed red to highlight its lower tax status and to be used in industries like mining, farming, and construction. If these fields are of your interest, then consider restocking your red diesel, kerosene, or fuel oil with us at Compass Fuel.