By Jamie Martin
Recently groundbreaking legislation was introduced in both the U.S. House and Senate to extend a new sustainable aviation fuel tax credit for ten years, exclusively benefiting domestic biofuel producers.
This initiative, led by bipartisan lawmakers including Senators Roger Marshall and Sherrod Brown, and Representatives Tracey Mann and Marcy Kaptur, seeks to strengthen the U.S. biofuel industry and curb greenhouse emissions from the airline sector.
The National Corn Growers Association (NCGA) has welcomed this move, particularly praising the focus on American corn growers. NCGA President Harold Wolle emphasized the corn industry's commitment to reducing aviation emissions through corn ethanol.
The proposed bill prevents foreign biofuel producers from claiming the 45Z tax credits, addressing concerns about the competitive disadvantage for U.S. producers and inconsistencies in carbon accounting standards abroad.
This legislation is a component of the broader Inflation Reduction Act of 2022, which aims to foster climate-resilient infrastructure and energy solutions.
As discussions continue, U.S. biofuel leaders are actively engaging with Congress and the administration to refine the eligibility requirements for these tax credits, ensuring they are accessible and practical across diverse agricultural environments.
Photo Credit: photo-credit-vista-mipan
Categories: National