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A transport company intended to produce biodiesel for its own fleet and mix it with diesel at its consumption centre. The DGT has ruled that biodiesel production is classified as manufacturing and that mixing with conventional fuels may only take place within a factory or a bonded warehouse.
Question posed In relation to the response to binding consultation no.: V1349-06, obligations corresponding to the use of biodiesel as fuel, when it is blended by the biofuel manufacturer themselves and whether this blending can be carried out at the establishment where it is consumed, outside of a factory.
The production of biodiesel is considered manufacturing and requires the registration of the establishment as a factory. The blending of biofuels with conventional fuels may only be carried out in a factory or in a tax warehouse for hydrocarbons. Therefore, it is not possible to carry out said blending at the establishment where the business activity is consumed.
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