A group of farm organizations is asking House and Senate leadership to extend the biodiesel tax credit.
A letter sent last week to leaders of both chambers says, “we believe that Congress can, and must, pass an immediate extension before returning home at the end of the year.”
The group includes 11 farm and biofuels groups, including the American Farm Bureau Federation and National Farmers Union.
Since 2005, there has been a $1.00 per gallon biodiesel and renewable diesel blenders’ tax credit, which was created to stimulate production and consumption of biodiesel and renewable diesel.
The tax credit expired on December 31, 2017.
Separately, the Petroleum Marketers Association of America says Congress must “act now to retroactively extend the credit for calendar year 2018 and through at least 2019.”
The farm groups charge that since the start of the year, producers have cut back production, investments in new technologies and facility upgrades, and purchases of raw materials, because of the uncertain future of the tax credit.