Budget a Missed Opportunity As Chancellor Delays Scaling Back Cheap Diesel

With a view to boosting air quality, ministers ran a consultation from May to July this year, looking at whether the availability of cheaper red diesel undermined clean technologies. Subsequently, a possible announcement on future red diesel use was expected at the Budget, and also trailed in The Guardian. Dearman has long argued that red diesel...
Chancellor Budget Red Diesel

With a view to boosting air quality, ministers ran a consultation from May to July this year, looking at whether the availability of cheaper red diesel undermined clean technologies.

Subsequently, a possible announcement on future red diesel use was expected at the Budget, and also trailed in The Guardian.

Dearman has long argued that red diesel subsidies disincentivise the uptake of affordable clean technologies that are available on the market, including for transport refrigeration units (TRUs)

A recent report by AutoExpress found that if the up to 34,000 diesel TRUs in the UK switched to zero emission equivalents, it would equate to taking 1.8 million Euro 6 diesel cars off the road.

Commenting, Dearman CEO Scott Mac Meekin, said:

“We are naturally disappointed not to see the Chancellor make an announcement on scaling back red diesel, particularly for transport refrigeration. We know ministers recognise the urgency of improving Britain’s air quality, so although the Budget was a missed opportunity, we will continue to engage with ministers and civil servants to make the case for scaling back red diesel. Clean technologies will continue to be undercut as long as the price of diesel is artificially lowered.”

Source: dearman.co.uk