Statutory Instruments
2007 No. 314
EXCISE
The Fuel-testing Pilot Projects (Biomix Project) Regulations 2007
Made
7th February 2007
Laid before Parliament
8th February 2007
Coming into force
1st March 2007
The Commissioners for Her Majesty’s Revenue and Customs make the following Regulations in exercise of the powers conferred by section 20AB(1) to (3), (5)(a) and (12) of the Hydrocarbon Oil Duties Act 1979( 1 ):
Citation and commencement
1. These Regulations may be cited as the Fuel-testing Pilot Projects (Biomix Project) Regulations 2007 and come into force on 1st March 2007.
Interpretation
2. In these Regulations—
“the Act” means the Hydrocarbon Oil Duties Act 1979 ;
“biomix” means a mixture that is produced by mixing—
biodiesel with sulphur-free diesel, or
biodiesel with ultra low sulphur diesel;
“the project” means the project described in the Schedule.
Experimental fuel
3. Biomix is an experimental fuel.
Experimental period
4. The experimental period for biomix is 1st March 2007 to 31st August 2008.
Relief
5. —(1) On biomix used or to be used for the purposes of the project there shall be allowed relief from excise duty in the form specified in paragraph (2) or, as the case may be, paragraph (3) (subject to any conditions imposed and directions given by the Commissioners).
(2) Where biomix consists of a mixture of biodiesel and sulphur-free diesel, relief shall be in the form of a rebate of excise duty less the amount per litre for the time being specified in section 11(1)(b)( 2 ) of the Act (rebate for gas oil which is not ultra low sulphur diesel).
(3) Where biomix consists of a mixture of biodiesel and ultra low sulphur diesel, relief shall be in the form of a rebate of excise duty less the amount per litre for the time being specified in section 11(1)(ba)( 3 ) of the Act (rebate for ultra low sulphur diesel oil).
Paul Gray
Mike Eland
Two of the Commissioners for Her Majesty’s Revenue and Customs
7th February 2007
Regulation 2
SCHEDULE
The project to which these Regulations apply is that approved by the Commissioners for Her Majesty’s Revenue and Customs on 8th February 2007. The project seeks to establish the extent to which biodiesel in differing proportions can be used as a substitute for corresponding proportions of ultra low sulphur diesel or sulphur-free diesel when used as fuel in sectors that currently use large amounts of rebated gas oil. Mixtures of biodiesel and ultra low sulphur diesel or biodiesel and sulphur-free diesel used in the project will benefit from a rebate of excise duty equivalent to reducing the effective rate of duty to that for rebated gas oil. The duty relief conferred by these Regulations will enable participating companies to carry out extensive tests to provide an indication of the potential environmental impacts and benefits of these mixtures in particular sorts of engines that normally would operate using only gas oil; to provide information on the issues and problems that arise from this use; and to provide information on the relative benefits of using such mixtures.
1979 c.5 ; section 20AB was inserted by section 3 of the Finance Act 2001 (c.9) . Section 27(3) applies the definition of “the Commissioners” in section 1(1) of the Customs and Excise Management 1979 (c.2) , namely “the Commissioners” means “the Commissioners for Her Majesty’s Revenue and Customs”. The definition in section 1(1) was amended by the Commissioners for Revenue and Customs Act 2005 (c.11) , Schedule 4, paragraph 22(b).
Section 11(1) (b) was amended by the Finance Act 1986 (c.41) , section 2(2) and the Finance Act 1997 (c.16) , section 7(5)(a). The current amount was inserted by the Finance Act 2006 (c.25) , section 7(6)(b).
Section 11(1)(ba) was inserted by section 7(5)(b) of the Finance Act 1997 (c.16) . The current amount was inserted by the Finance Act 2006 (c.25) , section 7(6)(c).