Martin Callanan, Conservative MEP for the North East, says the derogation has his 'full support'Mr Martin Callanan, Conservative MEP for the North East, told MBM:“Thank you for your recent email asking me to express my support with regard to the red diesel exemption from higher rate duty on red diesel for pleasure craft and “live-a-boarders”. An end to the UK’s derogation will see the cost of red diesel triple for thousands of boat owners across the country. If the UK’s derogation is not continued, the potential damage that will be done to the UK’s boating industry will be enormous. Loss of the derogation will have a serious impact on the UK’s boating industry and will adversely affect participation levels in the sector. Recommended videos for you“I have always believed that there was a justification in allowing the full exemption on low-duty red diesel to continue.