To ask the Chancellor of the Exchequer what progress has been made with negotiations on the derogation from the EU directive on the use of red diesel by marine vehicles. (86393)

As required under the energy products directive, the European Commission issued a communication on 4 July stating its position on derogations due to expire at the end of this year, and noting that member states may apply under the normal procedures for renewal of derogations. As announced by Chancellor of the Exchequer at the Budget, the UK will be submitting an application for renewal of the derogation enabling pleasure boats to use red diesel. This application will be informed by the case that the Government set out in the partial RIA published at the Budget and is continuing to build with the cooperation of the boating industry.