Treasury Releases Proposed 45Z Clean Fuels Credit Rule

The U.S. Treasury Department on Tuesday issued a proposed rule governing how biofuel makers can access a $1-per-gallon tax credit for low-carbon transportation fuels, including aviation fuel. The rule was welcomed by biofuel trade groups that said the plan could provide more certainty for producers of ethanol, biodiesel and other products seeking the credit.

EPA Proposes Biofuel Reallocation Options

The U.S. Environmental Protection Agency on Tuesday issued a proposal for reallocating to large refineries the biofuel blending obligations waived under the Small Refinery Exemption (SRE) program, offering two primary options of 50% and 100%. Additionally, the agency said it will ask for comment on other potential volumes, such as 25%, 75% or none at all.

Farmers Pushing for Biofuels Boost to Increase Crop Demand

Bloomberg’s Kim Chipman, Alicia Diaz, Erin Ailworth and Ilena Peng reported late last week that “after losing their biggest export market due to Donald Trump’s trade wars, US farmers are now counting on the president’s support for biofuels to prevent their next crop from piling up in storage.” “The administration is set to soon unveil […]

EPA Delivers Proposed RVOs to White House

Agri-Pulse’s Rebekah Alvey reported that “the Environmental Protection Agency has sent its next set of proposed biofuel volume mandates to the White House for review, signaling the long-delayed rule could be coming soon.” “Under the Renewable Fuel Standard, the agency sets renewable volume obligations for different fuel types like biomass-based diesel, advanced and cellulosic biofuels. […]

Trump Admin Issues Waiver for Summertime E15 Sales

Reuters’ Stephanie Kelly reported that “the Trump administration on Monday issued an emergency waiver to allow the sale of a higher-ethanol gasoline blend (E15) to be sold this summer nationwide, saying it will add to fuel supply during the peak U.S. driving season and bring down costs.” “The move likely will benefit biofuel producers and […]

Canada May Hit US Ethanol With Retaliatory Tariffs

Reuters’ Jarrett Renshaw and Arathy Somasekhar reported Tuesday that “Canada could impose non-tariff measures such as restricting its oil exports to the United States or levying export duties on products if a trade dispute with the U.S. escalates further, Canada’s energy minister Jonathan Wilkinson said on Tuesday.” “‘When we are talking about non-tariff retaliation, it […]

USDA Releases 45Z Feedstock Details, Drops Bundling Requirement

Progressive Farmer’s Chris Clayton reported Wednesday that “less than a week after biofuel groups lamented the lack of details about the Clean Fuels Production (45Z) tax credit, USDA released an interim rule for climate-smart crops being used as biofuel feedstocks that should provide the biofuels industry more clarity on how to move forward.” “The interim […]

Biofuels Groups Criticize Partial 45Z Clean Fuels Guidance

Reuters reported at the end of this past week that “the U.S. government on Friday released short-term guidance on how companies can secure clean fuel tax credits under the Inflation Reduction Act, but fell short of finalizing the program’s key details.” “Biofuels groups are eager for clarity on the tax credits for fuels that combat […]

Farm Policy News
Department of Agricultural and Consumer Economics
1301 W. Gregory Dr
Urbana, IL 61801
Email: farmpolicynews@illinois.edu