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A Beginner’s Guide to Domestic Heating Oil

If you are new to heating oil but want to learn more about it – for example if you’ve moved into a new place that uses heating oil in the central heating system – then you’ve come to the right place. This guide will give you all of the information that you need to understand your heating system.

What is heating oil?

There are two different types of heating oil which are commonly used for domestic purposes.

Firstly, kerosene oil is the most common type of oil which is used widely for heating purposes throughout the UK. You may also know it as simply ‘heating oil’ or 28 sec oil. Kerosene oil is manufactured through petroleum fractional distillation and is a by-product of crude oil. Kerosene is the type of oil which you’ll most likely be using to heat your home if you do not have access to the main gas network.

Less commonly used is gas oil, which is produced in the same manner as kerosene oil, however it is heavier and tends to be used mainly for commercial purposes and old boilers.

How much does heating oil cost?

Heating oil prices are subject to change on a daily basis. Oil is traded on the global market, and the price can be affected by a number of different factors including recession, fluctuating exchange rates, level of supply and demand and the growth of global economies to name just a few.

However, recent data has shown that when the average prices for gas, electricity and oil come down it is oil users who gain the most.

How to pay for heating oil

Most suppliers of heating oil will allow you to pay upfront for your supply via direct debit. This method of payment is the most common and is favoured by the majority of homeowners who use heating oil for their central heating system, as it allows you to be sure never to miss a payment and is also an effective way of building up credit for future deliveries. You can also pay for your oil as and when you order it using a debit or credit card.

If you use heating oil in your property, hopefully this guide has helped you to understand more about it. If you still need more information, contacting your supplier is the best option.

Your Guide to Setting Up an Oil-Fired Central Heating System

Although most UK households use gas for central heating purposes, around four million homes in the UK run oil-fired central heating systems. This can be down to a wide selection of different reasons, but most commonly it is because the main gas network is not close enough to connect to.

Efficiency

Oil-fired central heating is one of the most efficient ways to heat your home. When you use a good quality oil-fired central heating system that is installed well you should have just as much efficiency as a traditional gas system, if not more. For the most efficiency, the same control should be given as those in any other similar system. For example, room thermostats should be used and the thermostats and boiler should be wired in an interlock in order to prevent any short cycling when room heating or hot water are not needed.

Types of Oil Used

The vast majority of oil-fired heating systems in the UK use kerosene oil, also known as 28 sec oil. This type of oil burns very cleanly, making it ideal for domestic heating purposes as it leaves little deposits such as soot and smoke on after burn. 28 sec oil is also commonly used in popular kitchen ranges such as AGA. 35 sec oil is also another type of oil which is often used in domestic heating situations. If you’re unsure how to tell the difference between the two, it’s quite simple – 28 sec oil is a yellow colour whilst 35 sec oil is red. Home heating oil prices can vary daily, but should not cost you more than a gas system.

Oil Central Heating Boilers

When you use a well-fitted and good quality boiler for oil central heating, CO2 emissions should be no greater than normal gas. Your oil central heating boiler should always be fitted by a competent fitter who is capable of measuring flow and pressure both before and after the boiler is commissioned and fitted in order to ensure that there are no leaks which could cause damage or put the homeowner in danger.

For more information on setting your oil-centred heating system up, contact a reliable engineer.

How to Save Money on Heating Oil

Heat your home with oil without paying any more than you need to. Follow the top tips listed below to get the most from your oil heater and save money without going cold.

Comparison Shop

Heating oil prices NI and UK change all the time, so just because your provider was the cheapest available when you signed up doesn’t necessarily mean that you’ll be in the same situation a few months or a year down the line. You can compare oil prices by looking up different heating oil companies on directory sites and searching for better deals to go for. Most heating oil providers will also be happy to price match, so if you do find a cheaper deal for your oil it could be worth letting your current provider know to see if they can meet it instead.

Fill Up Off-Season

The price of heating oil tends to rise when it is in higher demand. If you leave your tank almost empty during the warmer months and then stock up when it starts to become colder outside, chances are you’ll be paying top prices for your oil as everybody else will be doing the same thing. To save money, take advantage of the cheaper prices when demand is low, such as during the summer when most people aren’t thinking about the need to heat their homes at all.

Ask for Discounts

It’s a good idea to check in with your heating oil provider from time to time in order to discover whether or not they have any special deals, promotions or discounts that they can offer you. Call customer services and ask them to let you know about any available discounts – you may well find one which you’re eligible for and aren’t currently getting. Many companies offer special discounts on bulk orders for large tanks and fills, as well as concessionary discounts for senior citizens or students.

Remember that the pricing plan which you choose could also affect how much money that you save on your heating oil. Fixed pricing is a good idea if you suspect that a price rise is imminent, whereas if you’re considering filling up off-peak, go for a market price plan.

The Benefits of Heating Your Home with Oil

Looking over a house that you’re planning to buy and finding an oil-based central heating system can be quite daunting, especially if you’re new to the idea. That’s why we’re here to put your mind at rest with this list of just a few advantages of using heating oil over gas for heating your home.

Efficiency

You will be glad to know that using an oil-based system to heat your home is highly efficient, so you will get a good return for each unit of fuel which you use. Statistics show that using a modern oil-heating boiler can save up to 90% energy, not to mention that the modern boiler types all fully meet the standards set by the National Standards Agency. The storage tanks themselves where your heating oil will be kept can also last for a very long time, adding to the overall efficiency of this system and product.

Pricing

Price is one of the main factors which home buyers take into consideration when it comes to heating the home, and in the past many have argued that using oil to heat your home is costlier than gas. But, recent years have brought about a drop in the price of oil for home heating, and along with the superb efficiency of the system, homeowners who use oil in their home’s central heating system tend to get much more value for money, causing them to spend less over time than they would using gas or electricity.

Safety

Although gas leaks and other dangerous situations don’t happen that often, gas doesn’t have the best of reputations when it comes to safety. An exposed flame from a gas system can lead to significant damage or even health risks, whereas if you use an oil-based system it is much safer and does not have the same level of risk associated with it. Another risk of using gas is that it can form invisible fumes which can be difficult or even impossible to detect. In contrast, any problems with an oil-based system can be identified easily and quickly, meaning that you can rectify any problems which arise immediately.

More and more people are realising the benefits of choosing heating oil over gas for home heating!

When Can I Use Red Diesel?

The rules on red diesel largely depend on your automobile and the purpose for which you are using it. The rules on red diesel apply to the following vehicles:

• Tractors and light farming vehicles
• Mowers
• Road structure vehicles
• Construction vehicles e.g. diggers and tippers
• Moveable bulldozers and cranes
• Gritters and vehicles used for clearing snowfall
• Vehicles approved for partial use that are merely used for farming, forestry or gardening purposes

Restrictions on Red Diesel?

Agricultural contractors are permitted to use red diesel providing that they only use it exclusively for farming, forestry or agricultural use with a vehicle that is licensed for this purpose.

Penalty Charges?

If you are found to be using red diesel in an unpermitted manner, for example in an agricultural vehicle in a non-agricultural setting on in a vehicle not listed above, you will be subject to a penalty charge. You may be penalised between £200-£500 and in most cases, your vehicle will also be detained.

Switching Between Red and White Diesel?

It is not possible to carry two tanks in order to switch between red and white diesel. This is because it is illegal to transport two different diesel cisterns, which can both equally be joined to the diesel engine.

Transporting Red Diesel?

In order to transport red diesel from a forecourt, special containers are produced. For transportation of this gas oil, you will need to obtain and use a container, which is ADR, approved and has a UN number moulded onto the container. For transportation between long distances, tankers are required.

Get in contact with us today to see how we can supply red diesel.

Storing Red Diesel: Everything You Need to Know

Are you storing your red diesel stock correctly? The regulations for storing red diesel can vary depending on the area in which your storage facility is based, how old the facility is, and the purpose for which you are using the fuel. However, incorrect fuel storage can have terrible environmental implications, meaning that even the most careful of red diesel users can get a little worried when it comes to making sure that they are storing their stock in the right manner. If you are looking for specific advice on how to store your red diesel, it’s a good idea to contact your local environmental regulator.

Who Has to Follow the Rules

The rules for storing red diesel in England and Wales apply to everybody, unless your storage tank was installed before 1991, or has a maximum capacity of 1,500 litres. The rules and regulations are similar in Northern Ireland, however owners with a storage tank installed before 2003 or with a maximum capacity of 1,250 litres are exempt. If your storage tank does not fall within the category which relates to the area where you are based, you are bound by a set of rules for storing red diesel.

Law Exemptions

The law on storing red diesel or tractor oil, as it’s commonly called in the farming industry, can vary a lot between countries. Occasionally, there may be exemptions made in certain areas or changes made to the laws for varying environmental reasons. Adjustments may be made to your storage facilities in certain cases, such as if an environmental regulator considers the site to be a threat to the environment. There are no exemptions to the storage laws in Scotland.

Where to Store Red Diesel

Red diesel fuel can be stored in either fixed tanks or mobile bowsers. The storage option which you choose will largely depend on how you use your red diesel fuel. In any case, it is important to abide by the regulations for red diesel fuel set out by your local authority. Those found to have neglected these rules could be fined any may have to appear in court.

Heating Oil Theft Alert: UK Rural Crime up by 5%

If you keep your heating oil in an outdoor tank, is it fully secure? Homeowners may wish to review their security measures in the wake of a new report from NFU, that has highlighted an increase in rural crime in the UK.

According to the latest NFU Mutual Rural Crime Survey, the cost of crime to the UK’s rural economy reached £44.5 million in 2013. This was up by 5.2 per cent on the previous year.

The firm stated that the theft of livestock, high-value agricultural equipment, pesticides and fuel hit farming businesses hard, leading to a wave of insurance claims.

NFU reported that the most commonly targeted items were tools, followed by all-terrain vehicles and quad bikes, and then oil and diesel.

So many homeowners and businesses were forced to claim for fuel they had paid for, but never got to use due to the actions of thieves.

Overall, Cambridgeshire was the worst-affected county for rural crime, with claims totalling £2.7 million last year.

Tim Price, rural affairs specialist with NFU Mutual, highlighted the extent of the risk to countryside homes and businesses.

“There is no doubt that both opportunist criminals and members of international criminals are targeting farms,” he stated.

“While the first group will often move on to an easier target if they see a farm that has even basic security in place, the latter are professionally organised with a specific target.”

Last month, Newsletter reported that a farm labourer was convicted of stealing heating oil from an elderly neighbour in Banbridge, County Down.

Presiding in Banbridge Magistrates’ Court, district judge Paul Copeland heard how the victim’s daughter spotted four oil drums, one of them filled, and a hose coming from her mother’s heating oil tank. Police seized the hose and tested it for DNA, revealing a profile matching 28-year-old Stephen Weir.

Gov’t Launch Smart Meters Despite Criticism

This week will see the launch of a government initiative to put smart meters in every UK home, despite concerns being raised over the technology not working.

Smart meters rolled out across the UK

The £11 billion scheme will supposedly result in significant energy cost reductions through a decrease in energy consumption for households, but the installation of the devices is estimated to cost around £200 per home, which will be recouped from residents from energy suppliers, through an increase in their energy bills.

Elsewhere in the world, the meters have been abandoned, with official documents revealing that they save less energy than originally suggested, and that in most cases, they cost more than they save in the long-term.

It has also been revealed that smart meters will not work in a third of homes in the UK because of the complexity of the technology. This means those living in high-rise flats, basements and rural houses will miss out on the predicted savings.

The meters record gas and electricity consumption every 30 minutes and are able to show customers how much they are using and the cost attached. It is hoped that this real-time information will encourage households to reduce their energy consumption.

According to the Department of Energy and Climate Change, the installation of smart meters will result in the cost of energy bills falling by £26 per year by 2020. In addition, the government predicts that electricity usage will drop by 2.8 per cent and gas by two per cent.

A study of Dutch households revealed that the meters only resulted in a 0.9 per cent gas reduction and a 0.6 decrease in electricity consumption.

Furthermore, a risk assessment carried out by Ofgem – the energy watchdog – identified “a range of threats such as cyber, viruses and malicious software”.

Margaret Hodge, the chairman of the Public Accounts Committee, said: “This is a typical government project – they set up a big scheme but don’t think about the costs to the consumer because it’s being driven by the energy companies.

“This expensive equipment is already out-of-date, because we could get the information on our smartphones.”

She added that the government needs to consider the advantages of the technology they are using and ensure that it benefits the end-customer.

The rollout of the smart meters will begin next year and will cost around £200 per home – an expense that will be passed on to the customer, according to energy companies.

Sir Bob Geldof is being hired to launch the campaign, alongside the mascots Gaz and Leccy.

Only time will tell if the smart meters benefit customers or if the UK, like other countries, will abandon the scheme.

Could Independence Solve Fuel Poverty in Scotland?

At the moment, people across Scotland are likely to be thinking hard over which way they will be voting in the landmark referendum on independence, which is scheduled to be held on September 18th 2014.

Could independence solve fuel poverty in Scotland?

However, one factor they might not yet have considered is the potential impact of a yes or no vote on heating oil prices. It’s a consideration that could come to the fore soon, following the publication of a new report on how independence might affect Scotland’s fuel market.

Carried out by the independent Expert Commission on Energy Regulation, the study has suggested that independence would give Scotland new powers to tackle fuel poverty, high energy costs and prices north of the border, benefiting its residents in numerous ways.

Of course, an independent Scotland would need its own energy regulator to keep tabs on the sector, but the report expressed confidence that the Scottish government’s combined regulatory model could deliver on this.

However, this is not to say Scots would be able to go it alone completely. Indeed, the commission was sure to highlight the fact that a single energy market for all of Great Britain remains the best option for consumers in Scotland and in England and Wales alike. Existing costs of renewable support mechanisms at the point of independence may also need to continue to be spread across Britain, as is the case at present.

Fortunately, the report pointed out that working models of combined energy markets – involving partnerships between separate countries and governments – exist across Europe, including those in Ireland, Scandinavia and Iberia. This would provide a newly-independent Scotland with a clear example to follow.

Naturally, Scotland’s pro-independence first minister Alex Salmond has responded positively to the findings, saying: “Scotland is a resource rich country and it offers safe and secure supplies of electricity and gas, and can continue to assist the rest of the UK in meeting its legally-binding renewable energy targets.”

His Scottish National Party have also welcomed the report, with MSP and Economy, Energy and Tourism Committee member Mike Mackenzie stating that a yes vote would give the party “the powers we need to take action against the scourge of fuel poverty and to tackle high energy costs for families across Scotland”.

Matters such as these are sure to give Scottish voters even more food for thought as they prepare to cast their votes in just two months’ time.

Green Energy Contracts Investigated

Following investigations into the Big Six earlier this year, the National Audit Office (NAO) has called for a number of green contracts to be investigated.

Government renewable energy contracts are under fire.

In total, eight contracts were signed earlier this year by the Department for Energy and Climate Change (DECC), supposedly to secure projects that were “at risk of investment delay”. However, the NAO have claimed that by aiding these companies, the government has failed to protect the interests of bill payers across the country.

In total, the contracts that were signed were worth a combined total of £16.6 billion, consisting of five offshore wind farms, two conversions of coal plants to biomass, and one biomass heat and power plant.

The NAO believes that the government’s decision to support these contracts was wrong, and that they paid too much money for the renewable resources “without price competition”, which could possibly lead to a rise in energy costs for consumers.

The UK government is currently committed to goals set by a European Union directive, which dictate that by 2020, 30 per cent of the country’s energy should come from renewable sources. In order to meet this target and drive investment in this area, the government is thought to have subsidised renewable energy suppliers.

To improve efficiency and help meet these goals, the DECC introduced the ‘Contracts for Difference’. The aim of this was to allow energy suppliers to bid for contracts, ensuring market competition and guaranteeing a fair price for bill payers, while also allowing the government to pay an agreed price for electricity.

However, as the system will not be fully operational until April 2015, the DECC was left in what it described as a “difficult position”, as current renewable energy measures are not substantial enough to meet the 2020 targets set by the EU. The department subsequently decided that the only way they could meet these targets, was to award early contracts to renewable energy suppliers, without going through the tender process.

Amyas Morse, head of the NAO, said: “The DECC awarded the early contracts without price competition to avoid an investment gap. As the Contracts for Difference regime has the potential to secure better value for consumers through price competition, committing so much of the available funding through early contracts, without competition, has limited the department’s opportunity to secure better value for money.”