Record diesel prices are driving states to suspend fuel penalties, freeze tax increases and ease hauling restrictions as farmers harvest crops and move livestock.
For Missouri producers, the pressure comes without a confirmed state waiver allowing red-dyed diesel in highway vehicles. Missouri law generally prohibits dyed fuel in the supply tank of vehicles operated on public highways. As of Sept. 29, a comparable emergency waiver could not be verified for Missouri.
The national diesel average reached a record $6.53 per gallon last week, according to AAA figures reported by Reuters. Disruptions involving Middle Eastern oil supplies, attacks on Russian refineries and declining global fuel inventories have tightened the market.
Those costs reach beyond tractors and combines. Farms also depend on diesel to haul grain, deliver feed and transport livestock. Reuters reported that northeast Missouri producer Addie Yoder operates two combines, three semitrucks and several tractors during harvest. South Dakota producer Drew Peterson estimated the daily fuel bill for one combine could reach $1,500 this season, twice last year’s expense.
Several agricultural states are responding, but their measures differ. A suspension of state dyed diesel enforcement does not automatically waive federal penalties or authorize use across state lines.
Nebraska has enacted one of the more extensive harvest relief packages. Gov. Jim Pillen’s Sept. 24 diesel order suspends state penalties involving dyed diesel in highway-registered vehicles through Dec. 23.
The state also is offering motor fuel tax refunds for qualifying diesel used to transport Nebraska agricultural products. Eligible trips include moving livestock, grain and other seasonally harvested products to storage or market, along with return trips. Personal driving does not qualify, and refund applicants must retain supporting records.
Nebraska’s Department of Revenue specifically states that its dyed diesel relief applies only to state penalties. Officials have requested corresponding relief from the Internal Revenue Service.
A separate Nebraska order allows qualifying agricultural vehicles hauling seasonal products and livestock to operate up to 25% above legal gross and axle-group weight limits without additional permits or associated fees.
South Dakota is reducing hauling costs through its own harvest order. Gov. Larry Rhoden signed the measure Sept. 28, allowing agricultural loads to operate up to 10% above standard weight restrictions and suspending the $25 overweight trip permit fee.
Posted bridge limits remain in effect. Vehicles also cannot exceed 20,000 pounds per axle.
South Dakota’s order directs the Department of Revenue to monitor fuel availability and determine whether supplier tax refunds are warranted if shortages require regular diesel to be used in farm machinery. It does not establish a general highway waiver for red-dyed diesel.