These Regulations, which come into force on 1st September 2004, provide for relief from the excise duty charged on road fuel gas. The relief is allowed only in respect of road fuel gas that is charged with duty on a day described by regulation 3(2) and (3).

The rates of duty charged on road fuel gas are prescribed by section 8(3) of the Hydrocarbon Oil Duties Act 1979 (c. 5) (as amended, most recently by section 6 of the Finance Act 2004 (c. 12) with effect from 1st September 2004). The result of the application of the relief (which is provided in the form of a remission of part of the excise duty that is chargeable) is that the amount a person is actually liable to pay is reduced by the amounts specified in these Regulations: he will therefore be liable to pay 9 pence per kilogram. Therefore, he will be liable to pay the same amount as if section 6 of the Finance Act 2004 had not come into effect.

A full regulatory impact assessment has not been produced for this instrument, as it has no impact on the costs of business, charities or voluntary bodies.