HCOTEG213800 | Tables: table R: specimen letter - refusal of application to use rebated fuel as road fuel

See HCOTEG122550

Reference …………………

Dear [Applicant]

Use of rebated oil as road fuel

I refer to your letter [date] applying for approval to use rebated oil as road fuel on repayment of the excise duty.

Since 1 April 2022, the legal framework governing the use of rebated heavy oil (commonly known as red diesel) has changed significantly.

Approval to use rebated fuel as road fuel may only be given where there is a clear statutory basis under the Hydrocarbon Oil Duties Act 1979 and the Hydrocarbon Oil (Payment of Rebate) Regulations 1996, as amended.

Prior to these changes, HMRC guidance described a wider range of circumstances in which approval might be considered. Those circumstances were supported by transitional legislative provisions and apply only in limited cases relating to rebated fuel obtained before 11 June 2021. Those transitional provisions do not apply to your application.

Your application has been carefully considered, however HMRC is not satisfied that the proposed use falls within a category for which approval may be granted under the current statutory framework.

It is therefore not possible to approve your application.

If you do not agree with the decision in this letter, you can ask for a formal departmental review. Your request should be in writing and set out the reasons why you do not agree with the decision. It should be sent within 45 days of the date of this letter to [address of the review team].

Yours faithfully,

Copy to: MET (Mobile Enforcement Team)