CHRISTIAN COUNTY, KY – Agriculture Commissioner Jonathan Shell is calling for loosened restrictions on dyed diesel to help Kentucky farmers offset record fuel costs during the remainder of the fall harvest season. At the end of September, Christian County’s diesel prices hit a record high at over $6 per gallon.
“Record diesel prices are cutting deep into already-tight farm margins at the worst possible time. Farmers are in the middle of harvest and need relief now,” Commissioner Shell said. “This is a temporary, commonsense step that can make an immediate difference for Kentucky producers when we need it most.”
According to a news release from the Kentucky Department of Agriculture, dyed diesel and regular diesel are essentially the same fuel but are taxed differently. Dyed diesel fuel is a tax-exempt fuel typically used in tractors, combines, and other off-road agricultural equipment. State law prohibits its use on public roadways.
Through a letter written to officials, Commissioner Shell is urging the Governor, with consent of the Attorney General, to temporarily suspend those restrictions through the remainder of harvest season. The exemption would allow farm vehicles to use dyed diesel on public roads while harvesting and transporting agricultural products.
The letter says in part:
“I believe suspension of KRS 138.502, which prohibits the use of untaxed or dyed diesel fuel on the public highways, would provide meaningful relief to the Commonwealth’s farmers and Kentucky’s citizens broadly. Transportation costs are one of many factors that goes into the price of food. Increased transportation costs will result in increased costs of food. By providing some relief to the cost of transporting agricultural commodities to market, farmers and citizens are both served with lower prices and higher margins.
I am committed to working with you in any manner that will serve the interests of Kentucky’s agricultural community, as well as all citizens broadly. I look forward to your response to this urgent request.“
Read Commissioner Shell’s full letter here.
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