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Biodiesel and the Law

Special Fuel License

Posted July 8 2008 11:45 AM by jason.thompson 
Filed under: Miscellaneous, Biodiesel/alternative fuel

    Has the energy situation got you worried?  Imagine what the tax man is thinking.          


      Traditionally taxing fuel was easy. Fossil fuels only came from limited sources.  It was a snap to keep track of how many gallons users were using.  Today fuel sources are only limited by ones imagination. Hypothetically you could grow any number of high oil producing plants or bacteria in your backyard refine them in your garage and who's to know? One might not even need to grow anything just gather all the slime from lakes and streams. Anyway I am sure all the readers on this site would follow the law and diligently report each drop of fuel consumed in their diesel engine. I know I would.
    What exactly is the law? Recently an article by The Mercury News entitled, "Drivers of Vegetable-oil Vehicles in a Legal Pickle" was directed to my attention. Basically Maryland drivers are subject to $1,000 fines if they don't register and get a "special fuel" license.  This license looks difficult to get and expensive.  Shops who convert people's cars to run on straight vegetable oil (SVO) and don't register get $32,000 fines. The EPA has not fined anyone yet.
The taxes on fuel are important because they pay for our roads. (I like off roading better anyways.) I think in the future we will see more toll roads. Realistically that is the only way the government is going to be able to gather the money.
I went to college to be a lawyer. At the end I decided not to be a lawyer. I can read and write legal documents so I am interested in this topic. 

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