On March 24, 2014, the Senate Finance Committee Chairman Ron Wyden (D-Ore.) and Ranking Member Orrin Hatch (R-Utah) received a letter from a group of biofuel trade organizations, including ABO, encouraging the extension of critical advanced biofuel tax incentives — the Second Generation Biofuel Producer Tax Credit, the Special Depreciation Allowance for Second Generation Biofuel Plant Property, the Biodiesel and Renewable Diesel Fuels Credit, and the Alternative Fuel and Alternative Fuel Mixture Excise Tax Credit.
The trade groups signing the letter included the Advanced Ethanol Council, Advanced Biofuels Association, Algae Biomass Organization, Biotechnology Industry Organization, Growth Energy, National Biodiesel Board, and Renewable Fuels Association.
The advanced biofuels industry is currently at a critical stage of development. However, when the advanced biofuels tax credits expired on December 31, 2013, developers became stuck in a limbo as debates in Congress over the extension of the above provisions continues.
“Advanced biofuel tax credits have allowed the biofuels industry to make great strides in reducing the cost of production and developing first-of-kind technologies to deploy the most innovative fuel in the world,” the letter stated.
The Algae Biomass Organization understands how important tax credits are for algae biofuel industry growth. Back in December 2013, ABO leaders worked with Congressmen Scott Peters (D-CA), the co-chair of the Congressional Algae Caucus, on the introduction of HR 3758, legislation that would extend the Second Generation Biofuel Producer tax credit and the Special Depreciation Allowance for Second Generation Biofuel Plant Property.
It’s critical that Congress extend the legislation that puts renewable fuels on a level playing field with the incumbent fossil fuel industry. Ours is an industry that is creating jobs, providing energy security, and developing truly sustainable sources of food, feed and fuel.