[holding answer 10 November 2008]: HMRC ensures that the rules relating to the 2,500 litres per annum biofuel duty threshold are complied with through education, monitoring and targeted assurance activity.
Guidance on the exemption and its limits has been published and publicised on the HMRC website. This publicity has been augmented through attendance at biofuel trade fairs and contributions to trade publications where the regulations restricting the exemption to personal use were explained.
HMRC monitors the position, through administration and assurance activities, of producers operating above and below the limits. Since the threshold was introduced, in July 2007, work has been done centrally and locally to test compliance with the rules. Additionally, through their monitoring of telephone and written enquiries about the threshold, HMRC are satisfied that the rules are generally understood and complied with.