Clean Fuels Applauds Bipartisan, Bicameral Letter Urging Timely Rules on 45Z Production Tax Incentive

Clean Fuels Alliance America applauded a bipartisan, bicameral letter signed July 23 by 16 U.S. senators and 36 representatives urging Janet Yellen, secretary of the U.S. Department of the Treasury, to publish proposed rules for the 45Z clean fuel production credit and safe-harbor guidance by Sept. 1 and complete the final rulemaking no later than Nov. 1.

“Lack of regulatory certainty is already putting thriving businesses at risk as fuel producers are unable to make important business decisions regarding their fuel,” the lawmakers wrote.

“Capital investment remains uncommitted, threatening certain projects and expansion plans, including the administration’s stated goals to support new markets like sustainable aviation fuel (SAF) and low-carbon transportation fuels,” the letter continued.

“Clean Fuels applauds the bipartisan effort of senators and representatives to call for timely action from the treasury department,” said Kurt Kovarik, vice president of federal affairs for Clean Fuels.

“Biodiesel, renewable diesel and sustainable aviation fuel producers are already annually producing nearly 5 billion gallons of advanced biofuels that could qualify for this credit,” he added.  

“They need policy certainty immediately to make the transition to the producer credit and maintain growth in the industry,” Kovarik said.

The letter was led by Sens. Joni Ernst, R-Iowa; Tammy Duckworth, D-Illinois; John Thune, R-South Dakota; Amy Klobuchar, D-Minnesota; and Reps. Brad Finstad, R-Minnesota; Eric Sorensen, D-Illinois; Mariannette Miller-Meeks, R-Iowa; and Nikki Budzinski, D-Illinois.

The letter can be accessed in its entirety here.

Originally shared by Biobased Diesel Daily, July 24, 2024. Title updated for clarity, July 29, 2024.

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