Clean Fuels sponsored a new study from Capitol Policy Analytics calculating the economic and environmental benefits of U.S. biodiesel production. The environmental benefits are worth an average $3.89 to American consumers, which provides an immediate return on the tax incentive. The economic benefits of domestic biodiesel production were worth $15 billion in 2020.
More recently, Clean Fuels supported a study from World Agricultural Environmental and Economic Service (WAEES) that shows biodiesel and renewable diesel saves consumers money at the pump. These fuels meet 6% of U.S. demand for heavy-duty transportation, necessary to keep consumer goods -- from food to retail -- moving across the country. Without the supply of biodiesel and renewable diesel, fuel prices would be even higher than they are. The current price benefit is 4%, equal to $0.23 per gallon.
In May 2021, Sens. Chuck Grassley (R-IA) and Maria Cantwell (D-WA) and Reps. Cindy Axne (D-IA) and Mike Kelly (R-PA) introduced bipartisan legislation to extend the biodiesel tax credit through 2025. The bills (S.1806/H.R. 3472) were introduced in both the U.S. Senate and House. There are 41 additional Representatives and 15 other Senators cosponsoring the bills.
Send an email to your legislator thanking them for sponsoring the legislation and encouraging them to support extension of the biodiesel tax incentive in any legislation that Congress passes this year.