Farmer reacts after KY's state of emergency allows the use of untaxed diesel amid Iran war

Kentucky Gov. Andy Beshear has declared a state of emergency allowing farmers and truckers to use untaxed diesel fuel on public roadways as the ongoing war in Iran puts pressure on fuel prices.

The move comes after President Donald Trump signed an executive order aimed at lowering diesel prices.

The Kentucky order allows the use of untaxed, or dyed, diesel fuel on public roads, providing potential savings for farmers and truckers at a critical time of year.

“We can see a step in the right direction,” said Ben Pasley, CEO of Mt. Folly Enterprises in Clark County and chief farmer of Regeneration Distilling.

“I think it’s Governor Beshear taking the reality and saying, ‘What can I do about it?’” Pasley said.

For Pasley, the relief comes in the middle of harvest, when his operation has multiple trucks on the road.

“This is the most stressful time of year for our farming families,” Pasley said.

The impact can be particularly significant for farmers who use semi trucks to move agricultural commodities off the farm.

“When those trucks fill up, they’ll be able to save 51 cents a gallon with the excess tax,” Pasley said.

The state has also taken action on Kentucky's gasoline tax. Beshear signed an emergency regulation in May freezing the tax at 26.4 cents per gallon ahead of an anticipated July 1 increase to 27 cents per gallon.

Keeping the current rate in place is projected to save Kentuckians about $1.7 million combined each month.

“We’re just grateful,” Pasley said. “We’re at least gonna get some short-term relief.”

Beshear’s state of emergency is set to remain in effect until the war in Iran ends or the end of the year, whichever comes first.