What is Gas Oil?
Gas oil, popularly known as red diesel is a variant of road diesel that is used for off-road vehicles, generators, agricultural machinery and other off-road applications. It is a heavily rebated fuel that has been present since the mid-20th century. Red diesel can be distinguished from white diesel due to its distinct red colour, which allows authorities to monitor and control the illegal use of this low-taxed fuel. It is known by many other names, such as:
- 28-second burning oil
- 35-second burning oil
- Agricultural diesel
- Cherry diesel
- Tractor diesel
- Generator diesel
- Marine diesel
How is Gas Oil Made?
Red diesel is extracted from crude oil through fractional distillation. Crude oil, or petroleum, is pumped out from the earth and sent to a distillation facility where different fuels are separated from it in a distillation chamber. The distillation chamber is fitted with condensers at different heights and temperatures that capture different fuel particles, condense them and collect them. Fuels and substances that are extracted from the crude oil are:
- Petroleum Gas
- Petrol
- Naphtha
- Kerosene
- Lubricating Oil
- Fuel Oil
- Paraffin Wax
- Bitumen
Where Gas Oil Can Be Used?
Gas oil is strictly prohibited for on-road use, aviation, mining and many other operations due to its minimal tax rates. To avoid unsanctioned usage, a red dye is added to the fuel to distinguish it from white diesel.
However. There are several applications of gas oil which allow you to take advantage of its low tax rates. These applications include the following:
- Mobile cranes
- Agricultural processing vehicles
- Light agricultural vehicles
- Tar sprayers
- Road rollers
- Tractors
- Digging machines
- Snow clearing vehicles
- Off-road vehicles
- Mobile pumping vehicles
- Gritters
- Agricultural engines
- Mowing machines
- Agricultural material handlers
What Standards Govern Gas Oil Specifications?
Below are the standards that govern the specifications of gas oil:
EN 590: EN 590 governs the specifications of gas oil or red diesel within Europe.
BS 2869: BS 2869 is the British standard for gas oil specifications, which is further classified into 4 grades. i.e.:
You can learn more about fuel oil standards in our complete fuel specifications guide.
How is Gas Oil Different from White Diesel?
Technically, gas oil and white diesel have the same specifications and chemical and physical properties. They are governed by the same standards and are used in diesel-engine vehicles. However, they both differ in applications, tax rates and prices.
Gas oil is only used in off-road applications, such as agricultural machinery and generators, and it bears minimal tax to facilitate the use of the oil. Whereas white diesel is used for DERVs and other commercial applications and has high tax rates.
What Is Gas Oil Tax Exemption?
Gas oil or red diesel emits high amounts of carbon dioxide, which is why the UK government banned its usage for several commercial and industrial applications. However, untaxed vehicles and off-road machinery are allowed to use gas oil, which is why it is taxed lower than standard white diesel.
Gas Oil is a heavily rebated fuel with only 5% tax duty, which is 11.14 pence per litre. Meanwhile, white diesel has a duty of 57.95 pence per litre.
What are Gas Oil Alternatives for Commercial Applications?
There are some alternatives to gas oil that can be used for commercial and industrial applications, such as heating and power generation. These alternatives include:
Industrial Heating Oil (IHO)
IHO, or Industrial Heating Oil is specifically designed to facilitate the heating requirements of industrial processes. Its applications include process heating, space heating, power generation and boilers and furnaces. It is highly preferred for industrial and commercial applications due to its cost-effectiveness and compatibility with most of the equipment. As compared to alternatives, IHO offers:
- Higher viscosity
- Higher density
- Higher flash point
- High heating value
Hydrogenated Vegetable Oil (HVO)
HVO, or Hydrogenated Vegetable Oil, is manufactured by processing animal fat and vegetable oils at high temperatures and pressures. It is an extremely low-emission fuel that helps reduce the carbon footprint. It is a sustainable fuel that finds its applications in various sectors, from commercial and industrial to construction and agriculture. Its specifications include:
- 100% bio content
- Higher cetane level
- Lower sulphur level
- Low carbon emission
