Biodiesel, Wind Lose in Tiff over Energy Policy

John Davis

The fight between Democrats and Republicans in Washington, DC has hurt the biodiesel and wind energy programs in this country.

The Des Moines (IA) Register reports that Congress, deadlocked and heading for its August break, failed to renew tax credits for wind power and biodiesel that are due to expire at the end of the year:

Republicans have successfully blocked the tax package and other legislation from getting through the Senate because of the Democratic leadership’s restrictions on what GOP energy proposals can be put to a vote.

Greg Wetstone of the American Wind Energy Association said today that the delay in acting on the tax credits is creating uncertainty among investors in his industry.
However, he said he still he expects Congress pass the extensions before the end of the year.

“This is an issue that is popular on both the Democratic and Republican side of the aisle. Sadly, it’s been a very difficult climate to legislate in,” he said.

The biodiesel industry is heavily dependent on a $1-a-gallon tax credit that is at stake in the bill. The primary feedstock for biodiesel is soybean oil, and prices for that have been so high recently that biodiesel producers have been struggling to stay in operation even with the subsidy.

The August break is a chance for lawmakers to go back home and hear from their bosses… the people who elected them in the first place. Maybe its time they got an earful from all of you for them to get their heads together and get these important tax credits passed… before they run out at the end of the year.

Biodiesel, Legislation, Wind