Reefer fuel is red dye diesel used for off-road use. It works the same as the standard diesel but is dyed red for identification purposes. The standard diesel or gasoline is subjected to tax, as it’s used for on-road equipment or vehicles. Reefer fuel or dyed fuel is used for off-road equipment such as the refrigeration of reefer trucks. Because the fuel is used to power the refrigeration itself and not the truck’s machines, it won’t be subjected to tax by the government.
Reefer fuel or
dyed diesel is usually used by industries like restaurants, grocery stores, or food storage warehouses. It can be used for generators to power up establishments or refrigerators. If your business uses off-road fuel, it’s essential to know the use of dyed diesel and its difference from the usual gasoline or diesel fuel.
This way, you can save money from the added tax for using on-road diesel. Reefer fuel is a particular form of diesel fuel that is color red. It’s cheaper than the regular diesel as it’s not subjected to tax. Using it won’t hurt a pickup or a truck, but using it on-road can result in fines if detected by the government.