A pair of lawmakers Friday introduced legislation to extend a tax credit for advanced biofuels, citing the Biden administration’s slow work in implementing a related tax credit for clean energy.
The scramble on tax credits comes as the biofuel industry awaits details on the clean energy tax credit in Section 45Z of the tax code, which is supposed to take effect in January.
“Federal incentives for biofuels are only good enough if our farmers and producers have certainty,” said Rep. Sharice Davids (D-Kan.), who proposed legislation with Rep. Mariannette Miller-Meeks (R-Iowa).
Their bill would extend a tax credit for second-generation biofuels, such as cellulosic biofuel, that otherwise expires at the end of this year. The credit is for up to $1.01 per gallon for fuel produced.
