This is rather a grey area for me at present.
I am clear that for using vegetable oil in a road vehicle the duty is payable to HM Customs and Excise to the tune of 45.82p/litre at the moment. How this is collected is questionable but HM C&E tell me that it is my responsibility to declare all I use and to keep records which can be checked by an inspector at a later date. You do not need to pay duty on vegetable oil used for stationary engines. HM C&E have regional offices and its up to the office which covers your area to collect the duty from you. I'm currently waiting for a reply from my local C&E office clarifying how they think I'm to pay duty. In the meantime I have a friendly registered fuel producer who is acting as an agent for me supplying me with the reciepts I need proving I've paid duty. The duty on bio-diesel will change to around 25p/litre in April 2002. Vegetable oil is not covered by the description 'bio-diesel' and the duty will therefore remain at 45p/litre. If you'd like to lobby for a reduction in the duty for vegetable oil or bio-diesel (preferably to the preferential rate currently applied to LPG of 6p/litre) email helen_morris@dtlr.gsi.gov.uk Watch this space for further development and please write and tell me your experiences. This is not something that many officers of HM C&E have experience and I've received conflicting advice over the 'phone which is why I'm asking them for a written response.
If you have comments on this issue please drop me a line at tansley_uk@hotmail.com or discuss the matter in my message forum