Off Road Diesel
(Dyed Diesel)
What is Dyed Diesel?
Dyed diesel is a type of diesel fuel that has been tinted with a specific dye to distinguish it from its untaxed counterpart, commonly known as “clear” or “white” diesel. The dye added to the fuel provides a visual indicator that it is not intended for use on public roads but rather reserved for off-road applications. Off-road diesel is commonly used in agricultural machinery, construction equipment, generators, marine vessels, and other non-highway vehicles, where tax-funded road usage is not involved.
The Purpose of Dyed Diesel:
The primary purpose of using dyed diesel is to differentiate it from taxable, on-road diesel fuel. By using a visible dye, authorities can easily identify and enforce the intended use of the fuel, preventing tax evasion and ensuring that road usage taxes are appropriately applied.
Common Uses of Dyed Diesel: Dyed diesel finds widespread usage in various industries and applications, including:
- Agriculture: Farmers and agricultural businesses commonly use dyed diesel in tractors, combines, and other agricultural machinery.
- Construction: Off-road diesel is essential for construction equipment, such as bulldozers, excavators, and loaders.
- Generators: Many businesses, facilities, and events use dyed diesel to power backup generators and ensure uninterrupted operations during power outages.
- Marine: Marine vessels, including boats and ships, often rely on dyed diesel as their fuel source.
- Industrial and Mining: In the industrial and mining sectors, off-road diesel fuels heavy machinery and equipment.
Regulations and Compliance: Dyed diesel is subject to specific regulations set by individual states or countries. Both buyers and sellers of dyed diesel must comply with these regulations to avoid penalties and fines. Generally, users of dyed diesel are required to keep accurate records of fuel usage and storage and should not use it in vehicles or equipment intended for highway use. Additionally, states may have specific requirements for displaying a “Texas-dyed diesel statement” or an equivalent document.