Bill includes 2-year extension of tax credit for renewable diesel

By Erin Voegele | September 23, 2016

In mid-September, Rep. Diane Black, R-Tenn., introduced legislation that aims to extend tax credits for renewable diesel and biodiesel for two years, through 2018. The credits are currently set to expire at the end of 2016.

The bill, titled the “Biodiesel and Renewable Diesel Incentive Extension Act of 2016,” was introduced on Sept. 12 and referred to the House Committee on Ways and Means. To date, the no other members of congress have signed on as cosponsors of the measure.

The Advanced Biofuels Association has spoken out to salute Black for introducing the bill, noting that the provision would protect those who are investing in blending equipment and selling fuel, specifically small producers, users of biodiesel and renewable diesel, and the distributors. The ABFA also indicated several of its members attended meetings this week on Capitol Hill to make sure everyone in the biodiesel industry continues to have the benefit of the blenders credit.

“After having the benefit of this week’s meetings, it is clear that the best chance for our industry to continue to have tax credit support at the federal level is for all of us to unite behind the existing blenders credit, said ABFA President Michael McAdams. “Given the shortness of the year and the importance of certainty for the overall biodiesel industry, we simply owe it to all our members to give them the best opportunity to continue to have a tax credit in 2017 and 2018.”