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Shell asks for loosened diesel fuel restrictions to help Kentucky farmers with fall harvest
Shell says a temporary exemption would ease fuel costs for farmers as Kentucky diesel prices average $6.24 a gallon, according to AAA.
On Thursday, Republican Kentucky Agriculture Commissioner Jonathan Shell asked Democratic Gov. Andy Beshear to temporarily suspend restrictions on using tax-exempt dyed diesel on public roads during the 2026 fall harvest season.
Global political conflicts, including tensions in Iran over the Strait of Hormuz, have caused gas and diesel prices to rise in recent months, tightening farm margins during the critical harvest season.
Attorney General Russell Coleman supports the move, and Republican governors in Texas, Nebraska, and Louisiana have already implemented similar measures to allow red-dyed diesel for agricultural transport.
Beshear's office is reviewing the letter, spokesperson Scottie Ellis said, while the administration has previously suspended gas tax increases and frozen fees to lower fuel costs.
As of Thursday, Kentucky's average diesel price was $6.24 a gallon, below the national average of about $6.40 according to AAA. Shell argues reducing transport costs helps farmers maintain margins while stabilizing food prices.