From Deseret News archives:

Weary of gas prices, drivers turning to illegal veggie oil

Published: Sunday, Aug. 17, 2008 12:39 a.m. MDT
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With his vegetable-oil sources drying up and the legal ramifications of making garage biodiesel, Tribe has stopped making it. "I wanted to do the right thing, to be law-abiding," he says. "It turned out to be so much more work and hassle than it was worth."

Berk Tuttle, owner of Taggart's Grill in Morgan County, gets phone calls on a weekly basis from people looking for waste vegetable oil. "We get people begging us," he says. "In contrast, we used to have to pay people to get it less than a year ago."

Tuttle purchases 115 pounds of vegetable oil a week, and for the past five months, an Ogden resident has turned the waste oil into biodiesel. However, that arrangement may not last for long. Tuttle is considering purchasing a diesel pickup and filling up with biodiesel. "It would be free fuel for me," he says.

But it's against state tax law to burn biodiesel without paying fuel taxes, says Utah State Tax Commission spokesman Charlie Roberts, and if drivers make the fuel in a garage, they must pay, too. For each gallon of gasoline purchased, the federal gasoline tax is 18.4 cents and 24.4 cents for diesel, according to the Energy Information Administration. In Utah, gas and diesel are taxed an additional 24.5 cents a gallon.

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"A biodiesel fuel is a special fuel, and so they should be filling out a special user return and paying the 24.5 cents tax per gallon," Roberts says.

The Tax Commission's take on SVO fuel is that it shouldn't be taxed, because it is illegal by the EPA.

Blair, of UtahBiodieselSupply.com, says he doesn't know of anyone in Utah who has been caught by the Tax Commission. He says it would be hard for government to find. "You'd have to be doing something where they came and dipped your tank," he says.

Hartlieb, in Heber City, plans to continue his vegetable-oil experiment. He knows, though, that he's avoiding fuel taxes that are required by state and federal law.

"Twenty-five cents per gallon is probably a fair tax, because you have to fight a war, a $1 billion a day war, so you have to go get that," Hartlieb says about the government. "That's the dispute, but it's a pretty small dispute."


E-MAIL: lhancock@desnews.com

Recent comments

The editor needs to print corrections on this article, which...

Maud | Dec. 3, 2008 at 5:33 a.m.

This article is total sensationalist garbage. there is nothing...

Brad | Dec. 2, 2008 at 1:40 p.m.

This article confuses veggie oil and biodiesel, which aren't the...

Biodiesel Educator | Dec. 1, 2008 at 12:18 p.m.

Image

Bill Hartlieb examines a test batch of filtered oil outside of his shop in Heber City in July.

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