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The Advanced Biofuels Association (ABFA) joined 35 leading trade associations in urging Congress to extend critical biofuel and bioenergy tax credits. This unified effort highlights the urgent need for stability in the nation’s energy markets to protect American consumers from rising energy and fuel costs.
In a letter addressed to Majority Leader Chuck Schumer, Speaker Mike Johnson, Minority Leader Mitch McConnell, and Minority Leader Hakeem Jeffries, the coalition of leading associations outlined the urgent need to extend existing tax incentives, including the biodiesel tax credit, synthetic aviation fuel tax credit, and second-generation biofuel producer credit. Without these extensions, the energy and agriculture industries face significant uncertainty as they navigate the upcoming transition to a new tax regime in 2025, introduced by the Inflation Reduction Act.
Michael McAdams, President of the Advanced Biofuels Association, emphasized the importance of this initiative: “The advanced biofuels industry has been a vital driver of economic growth, supporting American jobs and reducing reliance on foreign energy sources. As longstanding energy tax policies expire and uncertainty around new policies grows, extending these vital tax credits is critical to stabilizing markets and preventing rising costs for American consumers.”
The proposed extensions represent a bridge, offering stability and predictability during a pivotal transition period for the energy sector. This short-term solution would help avoid unnecessary disruptions in energy and fuel markets, safeguarding American consumers from rising costs and supporting the businesses and workers at the forefront of the nation’s energy innovation.
Read the full letter to Congress here.
