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Industrial Heating Oil (IHO) FAQs

Learn everything there is to know about industrial heating oil, including how it can cut your commercial heating costs in your business - or call 0330 123 1444 to speak to a specialist.

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Are You Using the Most Cost-Effective Fuel for Industrial Heating?

Many businesses use red diesel/gas oil for their industrial heating needs but aren’t aware of a much more cost-effective and efficient drop-in alternative that’s readily available for use across the UK. Industrial heating oil can significantly reduce your organisation’s commercial heating costs and can be used without expensive boiler modifications or uplift of existing fuel stocks.

As a UK leading heating oil supplier, we’ve put together our most commonly asked questions to help explain the many benefits of the industrial heating fuel. If your questions about IHO are still unanswered at the end of this guide, simply give us a call on 0330 123 1444 and one of our fuel specialists will be able to help.

industrial heating oil

What is industrial heating oil?

Industrial heating oil (IHO) is our drop-in alternative to red diesel/gas oil that is explicitly intended for commercial boiler applications, to generate heat in boilers, heaters and dryers.

It’s compatible with BS2869 Class A2 10 ppm & Class D 1000 ppm (except for cetane value), the British standard for heating oil and is identical to gas oil in terms of its physical properties and calorific value. However, it’s a much more efficient heating fuel, giving you the same heat output as red diesel but for less money.

What can industrial heating oil be used for?

Because industrial heating oil is a fully rebated product with nil excise duty, it’s prohibited for use in mobile or stationary plant machinery.

It is made specifically for use in any heating applications where red diesel is otherwise used, without the need for expensive equipment or machinery modifications.

Popular heating applications include:

  • Space heating and central heating – apartment blocks, schools, universities, hospitals, government buildings, hotels, factories and commercial buildings
  • Industrial boiler plants – food and beverage manufacturing facilities, dairies, distilleries and animal feed mills
  • Drying and commercial heating – grain dryers, metal processes and tarmac manufacture
What are the benefits of using industrial heating oil?

Industrial heating fuel is an extremely stable and efficient fuel. It has a low CFFP/pour point and is a winter-grade solution which means it doesn’t need changing for winter use, unlike gas oil. It is FAME/biodiesel free so is at a significantly reduced risk of degradation, allowing it be stored all year round.

This ensures companies can stock up on IHO ahead of the cold weather without having the worry of microbial contamination or waxing which can clog pipes and lead to equipment failure.

At Crown Oil, we are in complete control of the fuel’s components; every element is quality assured before and after we blend the fuel. The product also contains a multifunctional additive to compensate for reduced sulphur levels which provides fuel system cleanliness and corrosion protection, reduced emissions and combustion chamber deposit control.

How can industrial heating oil be cheaper than gas oil?

Industrial heating oil is a fully rebated product with nil excise duty which means it’s free from rising government fuel levies that red diesel currently faces. 

Unlike gas oil, whose fuel specifications require specific levels of cetane to be used in modern diesel engines, IHO is exempt and doesn’t need to meet the exacting standards of fuel for off-road mobile plants as it’s only permitted for use in heating applications. This means IHO is much cheaper to produce. It also burns more slowly than standard red diesel, providing more heat for your money.

Industrial heating oil has a bad reputation in the past, how can I be confident in your product?

Industrial heating oil’s reputation has been tarnished in the past as previous products from other fuel suppliers have damaged boiler applications by clogging lines, causing soot in boilers and leading to sludge build-up in fuel tanks.

Because we manufacture our own product, we are in total control of what goes into it and how it’s produced. This helps to ensure that we only supply the highest quality fuel to our customers.

Will switching to industrial heating oil disrupt my business?

Swapping over to industrial heating oil is simple; it’s a drop-in alternative and is fully miscible with red diesel. This means you don’t need to empty your existing gas oil stocks; you can simply top up your tank and start heating your commercial buildings.

Please note: IHO is strictly for use in heating applications and should only be mixed with red diesel that is intended specifically for heating.

How much does industrial heating oil cost?

Because IHO has nil excise duty and is a rebated fuel, it is a much cheaper industrial heating fuel than gas oil. Commercial heating costs vary depending on your location and required quantity.


For a competitive industrial heating oil price, call the fuel experts today on 0330 123 1444 to start reducing your heating oil costs today. We can have your commercial heating oil delivered to you within 24-48 hours of order.

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