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MarcusBirkin
30th Jan 2007, 18:06
I've been running with a two tank veg oil system since september. Fully delcared with the HMRC. Just last week a guy from HMRC rang me and asked about my process, etc.
I pour SVO into my second tank (i.e. not mixed with real diesel), he say's that I should be paying the sulphur free diesel rate and not the biodiesel rate that I was paying.

His reason was that veg oil (rape seed) doesn't meet the ester requierments (>96.5%). It was my understanding that the content of veg is 99.999%.

How do I prove it is?

I know that fatty acids are esters, and based on my inacurate weighing of 3lts in my kitchen scales, it's 102% fatty acid.
G-Cam
30th Jan 2007, 22:11
Is there a big price difference?
Snagger
31st Jan 2007, 08:03
That doesn't sound right to me, but I'm no expert. Try a PM to Buzz - he'll likely know, or at least point you in the right direction.
MarcusBirkin
31st Jan 2007, 12:04
Is there a big price difference?

about 20p per lt.
reedx
31st Jan 2007, 13:30
Funny, that's not what HMRC said in December

http://www.biofuel-uk.net/forum/viewthread.php?tid=133
MarcusBirkin
31st Jan 2007, 17:43
Funny, that's not what HMRC said in December

http://www.biofuel-uk.net/forum/viewthread.php?tid=133


Unfortunaly that's the views of a review board, no official decisions where made (at least in that document). We still need to prove that the oil we use meets the current legal definition of the reduced rate.
Man in Hat
31st Jan 2007, 18:03
Another forum worth a browse is HERE. (http://www.vegetableoildiesel.co.uk/forum/index.php)

HMRC are talking about removing the duty and the need to register on biodiesel for people who produce less than 2500 ltrs a year...I believe they are consulting on it at the mo and the decision will be made mid Feb...good news for the home user if it comes off :)

Most types of Straight veg oil (SVO) do meet all the requirements laid down by HMRC but the onus is on you to prove it.
Carl
31st Jan 2007, 23:06
I've been running with a two tank veg oil system since september. Fully delcared with the HMRC. Just last week a guy from HMRC rang me and asked about my process, etc.
I pour SVO into my second tank (i.e. not mixed with real diesel), he say's that I should be paying the sulphur free diesel rate and not the biodiesel rate that I was paying.

His reason was that veg oil (rape seed) doesn't meet the ester requierments (>96.5%). It was my understanding that the content of veg is 99.999%.

How do I prove it is?

I know that fatty acids are esters, and based on my inacurate weighing of 3lts in my kitchen scales, it's 102% fatty acid.

This is because HMRC have deemed SVO to be a fuel substitute and therefore it attracts the full rate of duty. In order for it to be considered biofuel they insist that it has gone through some sort of processing and the only one they recognise is transesterification, as used in WVO.

There has been a review by the government on this matter and it recognises that SVO should not be excluded from the definition of biodiesel, see link. (http://216.239.59.104/search?q=cache:prycQMqn59cJ:customs.hmrc.gov.uk/channelsPortalWebApp/downloadFile%3FcontentID%3DHMCE_PROD1_026425+svo+d uty&hl=en&gl=uk&ct=clnk&cd=8&lr=lang_en)
HMRC have been critisised for taking too strict a definition of the legislation as well as not being consistant in their implementation across the country, it very much depends on the officer you deal with.

Here is a link (http://www.biomotors.co.uk/fuel-duty.html) to one persons sucessful challenge to pay the lower rate.
Spanish Bob
1st Feb 2007, 23:57
sorry to hear that the UK is such a Beaurocratic pain in the harse these days!

Can anyone post details of the two tank option with the oil heaters. I seem to remember that it was a German kit, I did a search, but cant find it again.

Whilst I am beginning to like the kids staring at me when I chuck 5litres of chip fat into the 90 in supermarket carparks, Id like to do something more serious.:D
MarcusBirkin
3rd Feb 2007, 17:50
sorry to hear that the UK is such a Beaurocratic pain in the harse these days!

Can anyone post details of the two tank option with the oil heaters. I seem to remember that it was a German kit, I did a search, but cant find it again.

Whilst I am beginning to like the kids staring at me when I chuck 5litres of chip fat into the 90 in supermarket carparks, Id like to do something more serious.:D

ATG, info: http://www.dieselveg.com/