IWA and its partners in the Fund Britain’s Waterways group have submitted a joint representation to the Government Spending Review on the more general issues of waterways funding. Additionally, the Sustainable Boating Group has submitted their own, focusing on the need to review the supply and taxation of HVO biodiesel. IWA’s Freight Group has also submitted a representation.
New craft are increasingly being built using electric propulsion. However, the existing leisure fleet, mainly using mineral diesel, will last many decades. Conversion of most of it to electric propulsion is unlikely and the scrapping of so many serviceable diesel engines would be environmentally undesirable.
The ‘FAME’ biodiesel currently being used in B7 road diesel is unsuitable in a marine environment (even at 7%) because it causes expensive engine failures which, in some instances, results in safety issues.
The only practical way of decarbonising the existing leisure fleet is for it to use Hydrogenated Vegetable Oil (HVO) as a fuel. Because of price volatility and complex government regulations HVO is not readily available for leisure boaters to use at a price they are prepared to pay.
Leisure boating supports many jobs and provides a significant contribution to the national economy.
IWA has therefore asked that the upcoming budget and spending review includes a holistic approach to the supply of HVO to leisure boaters that will simplify the regulatory regime, allow HVO to be sold on the inland waterways at a relatively stable and acceptable price and hence allow the economic value of the sector to be protected and the existing fleet to be largely and rapidly decarbonised. Based on our estimates, we believe that the cost to the Treasury will be very small.
Read the full submission here.
