Biodiesel Board Praises Energy Incentive Passage

John Davis

The National Biodiesel Board is welcoming the news of passage of the Renewable Energy and Job Creation Act of 2008 (H.R. 6049)… better known as the the Energy and Tax Extenders Act by the NBB.

It’s no wonder the group considers its final passage the NBB’s top legislative priority as it extends the biodiesel tax incentive, and contains other biodiesel provisions:

The House approval is an important step in allowing the U.S. biodiesel industry to continue to grow America’s energy security with cleaner-burning domestically produced biodiesel,” said Joe Jobe, CEO of the NBB. “Biodiesel is a new green industry that supports over twenty thousand jobs and added over four billion dollars to the U.S. economy last year. The extension of this incentive is an important investment in America’s long-term energy future.”

H.R. 6049 extends for one year a variety of renewable energy tax provisions and includes the following biodiesel-specific measures:

* Extends biodiesel tax incentive for 1 year through Dec. 31, 2009.
* Provides $1 per gallon incentive for all biodiesel regardless of feedstock.
* Shuts down the abusive “splash and dash” loophole that currently allows foreign produced fuel to enter the U.S, claim the biodiesel tax incentive, and be shipped to a third country for end use.
* Properly defines tax benefits available to co-processed renewable diesel.

As I mentioned in a previous post, the bill… and its tax incentives… are not out of the woods yet. It still faces opposition in the U.S. Senate and a threatened veto from the White House.

Biodiesel, Government, Legislation