Death And Taxes

Cold-chain operators are facing a spike in costs now that diesel’s subsidy has ended. Jack Carfrae explains the details and the alternatives.
YOU MAY have noticed that running a haulage company is not cheap, and if you’re in the temperature-controlled business, it’s probably about to get a lot more expensive.
Your typical transport refrigeration unit (TRU) has a standalone engine which runs on red diesel. That was previously taxed at 11.14p per litre but, in its March 2020 Budget, the Government announced plans to ban red diesel’s usage across most sectors from 1 April 2022 as part of its environmental strategy.
According to the Agriculture and Horticulture Development Board, through February 2022 the average price of red diesel was 79.09 pence, compared to 151.08 pence for white diesel.

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