Fleet News

Future of diesel called into question

THE Government has sent an unequivocal message to fleets that clean and green fuels represent the way ahead - and potentially called into question the future of diesel. With regular diesel being penalised to the sum of a 1p a litre/4.5p a gallon in additional tax and the Inland Revenue saying 'the higher increase for diesel charges should help reduce urban pollution' fleets could be persuaded to switch to cleaner low sulphur diesel.

Gaseous road fuels, whether liquefied petroleum gas or compressed natural gas, were the major winners in the Budget with duty levels frozen, while ordinary diesel paid the harshest penalty with its duty increased by 1p per litre above the 4.4 ppl rise for unleaded petrol and low sulphur diesel.

Keith Power, general manager of Calor Gas Automotive, said: 'This is a clear message to fleet operators that cleaner fuel equals cheaper fuel. He was also delighted at the news that company car drivers will no longer have to foot the additional benefit in kind taxation on the cost of converting a car to run on gas.

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