House passes biodiesel tax incentive extension
The U.S. House of Representatives last week passed the American Jobs and Closing Tax Loopholes Act, legislation that, among other things, retroactively extends the biodiesel tax incentive through Dec. 31. The measure passed the House by a 215 to 204 margin.
“The National Biodiesel Board is pleased that the House has finally passed the biodiesel tax credit,” said Manning Feraci, vice president of federal affairs. “Since the tax incentive’s inception six years ago, the biodiesel industry has created tens of thousands of green jobs, added $4.1 billion to the nation’s GDP and generated $828 million in tax revenue for federal, state and local governments. However, since the incentive has lapsed, the industry has shed thousands of jobs, shuttered plants and is struggling to survive. Timely reinstatement of biodiesel tax incentive will undoubtedly reverse this troubling trend and allow the industry to create over 12,000 new jobs in this year alone.”
NBB says the biodiesel tax incentive helps makes biodiesel price competitive with the diesel fuel produced by petroleum companies. “There are compelling economic, energy security and environmental benefits associated with displacing petroleum with clean-burning, domestically produced biodiesel,” Feraci said. “Common sense dictates that the Senate should act swiftly and extend this effective public policy.”