HCOBIG7350 - Biodiesel and bioblend - production, storage and delivery: biodiesel: delivery and supply

Biodiesel: deliveries

Revenue requirements in respect of delivery of biodiesel will be determined by the place of production and if the biodiesel has been set aside for a chargeable use or delivered for further process (i.e. blending).

• biodiesel set aside for a chargeable use must be delivered on payment of excise duty or may be held under duty suspension in an adjacent producer’s warehouse. (Biofuels and Other Fuel Substitutes (Payment of Excise Duties etc) Regulations 2004, Regulation 12)
• designated as a process oil i.e. for production of bioblend and delivered to an approved tax warehouse under duty suspension. Such movements must be accompanied by a W8 and a movement guarantee should be in place (See Notice 179E).
• biodiesel held in a tax warehouse under duty suspension, may be:

i) put to a chargeable use, entered to the Motor Fuel Record and duty paid on delivery. Duty paid biodiesel may be mixed with other duty paid oil.

(See HCOBIG7550 ‘Mixing’)

ii) designated as a process oil i.e. for production of bioblend and delivered to another similarly approved tax warehouse under duty suspension. Such movements must be accompanied by a W8 and a movement guarantee should be in place (See notice 179E, ‘Movement of biofuels’).

iii) used (self-supply) for a non-chargeable use. Evidence should be provided to show the use the fuel was put to.

iv) blended with heavy oil to produce bioblend. (Hydrocarbon Oil Duties Act 1979, section 6AB(2)).

(See HCOBIG7400 ‘Bioblend’)

v) delivered from Northern Ireland under duty suspension to a similarly approved tax warehouse in the EU. An Accompanying Administrative Document (AAD) and movement guarantee are required in respect of movements by road tanker wagon or rail tank car, but not for those either by pipeline or bulk sea movements.

vi) exported to a 3rd country, or to an EU country from GB. (Normal export controls apply).

Supply

If you supply rebated biodiesel or rebated bioblend, You must be registered as a Registered Dealer in Controlled Oil (RDCO) and to comply with the requirements of the scheme, which are set out in Excise Notice 192.

From 1 April 2022, the requirement to be registered was etended to apply to suppiers of rebated biodiesel (not in a blend). If you supply rebated biodiesel and are not a Registered Dealer in Cntrolled Oils, you will need to apply to us for approval. For more informatin see Section 4 of Excise Notice 192.