So, let's start with the obvious. A narrow boat is NOT going to be cruising in
remote places. So LPG is not ever likely to be far away.
The primary disadvantage of LPG as a
heating fuel on a boat is that it requires a lot more VOLUME of
storage space than diesel does, and is available in smaller unit quantities. If you have the space, and can easily obtain the amount of LPG needed, it is a better fuel. Cleaner, neater, and in a proper
installation, perfectly safe. But you DO need to look carefully at how much you will need, and at the logistics of getting it onboard. It might, or might not, be worth the hassle of dealing with
tanks large, or numerous, enough to be practical.
In the
USA the colors of diesel are actually very simple, but seem to cause no end of confusion, because there is so much misinformation floating around. Here is the simple cheat sheet for diesel colors. There are other complexities, but this covers 99% of the issues:
CLEAR is for low-sulfur diesel that has the full load of road
taxes paid. It can be legally used in any
service. Because of the tax load it is the most expensive--by far.
RED is low sulfur diesel that does NOT have road
taxes paid. It can be used in farm and construction
equipment, and marine uses. It is illegal to use in vehicles on the road. It is the middle
price point.
BLUE is higher sulfur diesel that is normally reserved for home heating fuel. It is illegal to use in any mobile application. It is the cheapest, by a good margin. It is one of the reasons that diesel cars are popular in the northern states. You can pull fuel out of your heating
oil tank and pay half the
price at the roadside
pump. Outside of long haul trucks who are subject to routine inspections, the chances of getting caught at this in most places are near zero.