Groups Urge Fair Analysis for Aviation Fuel Tax Credit

Cindy Zimmerman

A group of agricultural and biofuels organizations is urging Congress to make sure an accountable life cycle analysis is used in developing a sustainable aviation fuel (SAF) tax credit.

The Renewable Fuels Association, Growth Energy, American Farm Bureau Federation, National Biodiesel Board, National Corn Growers Association, and National Farmers Union sent a letter to the U.S. Senate Committee on Finance and the U.S. House of Representatives Committee on Ways and Means outlining recommendations

“Numerous members of our respective organizations are poised to produce SAF or sustainable feedstocks for SAF. Many others are looking to work toward participation in the full value chain in the relatively near future. We recognize the importance of decarbonizing the aviation sector with low carbon liquid fuels. Because biomass feedstocks are essential SAF sources, it is imperative that the tax credit properly account for the lifecycle emissions of these sources and the petroleum products these new fuels will replace.

“We urge you to make the U.S. Department of Energy (DOE) the lead agency in establishing a regularly updated LCA for any SAF credit. Across our federal government, DOE has the best resources, expertise, and current ability to assess lifecycle emissions fairly and scientifically.”

The letter also pointed out that carbon intensity estimates under the International Civil Aviation Organization for some SAF sources are “wildly inaccurate and incorrectly penalized” and cannot be supported.

Congress is considering new legislation to establish a tax credit to promote and develop robust domestic SAF production in an effort to decarbonize transportation and reduce aviation emissions.

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