Rep. Axne Introduces Biofuel Tax Credit Bill

WASHINGTON – Today, U.S. Rep. Cindy Axne (IA-03) introduced legislation to make the second generation biofuel producer tax credit permanent in order to support Iowa farmers, create jobs across the state and reduce our dependence on foreign oil. This legislation will incentivize investment in the development of advanced biofuel production by renewing a $1.01 per gallon tax credit for producers which expired at the end of 2017.

“Iowa is a national leader in the development of advanced biofuels. This tax credit will support investment and innovation in an industry that is driving economic development and job growth, moving us towards a cleaner environment and reducing our reliance on foreign oil,” said Rep. Axne. “Supporting advanced biofuel production is a smart and profitable investment for our farmers, our rural communities and our renewable fuel future. I urge my colleagues in the House and Senate to pass this tax credit, which should have never expired in the first place.” 

Second-generation biofuels, also known as advanced biofuels, are fuels that can be manufactured from various types of non-food biomass, including plant materials and animal waste.

“Advanced biofuels have tremendous untapped potential for our heartland. But our farmers and biofuel producers are suffering from low prices and weakening Renewable Fuel Standards. Helping our biofuel producers become more competitive in the market will create jobs, protect our environment and strengthen our national security,” Axne added.