Chippindale Plant Transition to White Diesel Policy

As of April 1st, Chippindale Plant will no longer be able to purchase and resell red diesel.

Any machines returned from hire after this date that require topping up will be done with white diesel and charged accordingly.

Our pricing policy will be reviewed monthly, based on our bulk buying price, including additional margin and refuelling costs. It will not be possible to agree fixed terms and discounted prices going forward.

To facilitate this we have invested substantially in accurate fuel pumping equipment with data logging facilities to verify actual amounts put into fuel tanks.

Following consultation with the CPA, we have taken the pragmatic view that customer sites will have existing stocks of red diesel purchased before April 1st that will be used to fill our machines prior to return from hire.

There is no practical way of draining tanks of red fuel without environmental consequences, so no charges will be made to customers for draining and disposal of red diesel. Any fuel that requires topping up will be done with white diesel.

During the transition we could be sending out machines with red diesel still in the tanks or a blended constituent of both red and white diesel. Based on our normal stock turn this should take 3 months before red diesel component is naturally flushed from machines.