Red diesel loss 'could cost businesses millions'
From April, construction and manufacturing firms will have to switch to pricier so-called white diesel.
He also predicted potential job losses."I see a big, big hit on the construction industry in the next year or two," he said.Image source,Getty ImagesImage caption,Building supply costs have already surged globally and trade bodies fear an increase in diesel costs will cause some businesses to fail
Four of Northern Ireland's trade bodies representing the sectors affected have also warned that costs will increase from April.In a joint statement, the Construction Employers Federation (CEF), the Federation of Master Builders (FMB), the Mineral Products Association NI (MPANI) and Manufacturing NI said the removal of the red diesel rebate would have "significant financial implications" for businesses.Read more: BBC News (UK) »
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It won’t cost the sectors anything because their shareholders, accountants and bankers will insist they make sufficient profit to keep going. That means additional costs go to customers, as always. Here's a story for you. You're welcome. Industry has had decades to move to lower carbon/sustainable alternatives voluntarily, if they refused why should they get a tax break because it'll cost them more. This sort of pandering is why we've made next to no progress on climate change.
It will cost the public millions not businesses! The bogus pandemic under the fictional name CORONAVIRUS broke out around the world in their patent offices and will end its global life there on July 23, 2035. And the main responsible for the pandemic is the British Pirbright University, which will be accused of global genocide.
That will be most of the taxi, uber, just eat, drivers out of work in no red diesel to illegally use
Pointing out that concrete is the most widely used material in the world after water, Mr Emerson said an increase in diesel costs would have to be passed on to the consumer. He also predicted potential job losses. "I see a big, big hit on the construction industry in the next year or two," he said. Image source, Getty Images Image caption, Building supply costs have already surged globally and trade bodies fear an increase in diesel costs will cause some businesses to fail Four of Northern Ireland's trade bodies representing the sectors affected have also warned that costs will increase from April. In a joint statement, the Construction Employers Federation (CEF), the Federation of Master Builders (FMB), the Mineral Products Association NI (MPANI) and Manufacturing NI said the removal of the red diesel rebate would have "significant financial implications" for businesses. Mark Spence, managing director of the CEF, said it would do nothing to help reduce carbon emissions but would "significantly increase the risk of business failure in our sector". "A reasonable extension of time would allow the more timely transition to alternative fuels and protect jobs and our economy, ultimately enabling the carbon reduction we all seek," he added. Huge falls in production and services output Sinn Féin assembly member Caoimhe Archibald has also called on the government to pause and help businesses make the move away from fossil fuels. She said firms were already struggling with increased costs and high energy prices, adding: "The change to the entitlement to use red diesel won't reduce emissions in itself but it will however increase revenues for the British Treasury." Although agricultural machinery like tractors and diggers will still be able to run on red diesel, concerns have been raised about farmers in Northern Ireland who also use that machinery for construction purposes. When asked about those circumstances, HM Revenue and Customs (HMRC) said if machinery was being used for purposes other than those allowed under the rebate rules, then the fuel tank must be completely drained and flushed to "ensure compliance and minimise the misuse of rebated fuel". Image caption, Although red diesel will still be available for agricultural use, there are concerns for some farmers Speaking on The Nolan Show, Ms Lockhart said that was not a realistic option for farmers as it would not only cost more, it would also be a waste of fuel. The statement from HMRC added: "You will need to retain evidence to confirm the correct fuel has been put into the fuel tank. "HMRC will consider what purpose the vehicle or machine was being used for at the time of inspection and whether this was an allowed purpose." It added that vehicles found running red diesel could be seized. More on this story