[Sustainable-biodiesel] WVO tax credit

[Jason Burroughs]

Wow, this is fantastic. It DOES propose to make WVO-biodiesel get $1 
credit. PLUS, it increases the 30% rebate on fuel stations to 50% AND 
appears to give $1 for WVO as direct fuel:

Extension of biodiesel production tax credit; extension and modification 
of renewable
diesel tax credit. The bill extends for one year (through December 31, 
2009) the $1.00 per
gallon production tax credits for biodiesel and the small biodiesel 
producer credit of 10 cents per
gallon. The bill also extends for one year (through December 31, 2009) 
the $1.00 per gallon
production tax credit for diesel fuel created from biomass. *The bill 
eliminates the current-law
disparity in credit for biodiesel and agri-biodiesel* and eliminates the 
requirement that renewable
diesel fuel must be produced using a thermal depolymerization process. 
As a result, *the credit
will be available for any diesel fuel created from biomass without 
regard to the process used so
long as the fuel is usable as home heating oil, as a fuel in vehicles, 
or as aviation jet fuel.* The
bill also clarifies that the $1 per gallon production credit for 
renewable diesel is limited to diesel
fuel that is produced solely from biomass. Diesel fuel that is created 
by co-processing biomass
with other feedstocks (e.g., petroleum) will be eligible for the 50 cent 
per gallon tax credit for
alternative fuels. This proposal is estimated to cost $456 million over 
10 years.

Extension and increase of alternative refueling stations tax credit. The 
bill increases the
30% alternative refueling property credit (capped at $30,000) to 50% 
(capped at $50,000). The
credit provides a tax credit to businesses (e.g., gas stations) that 
install alternative fuel pumps,
such as fuel pumps that dispense E85 fuel. The bill also extends this 
credit through the end of
2010. This proposal is estimated to cost $156 million over ten years.

We'll have to see how it looks when it makes it's way through the 
system...but this is VERY good news!


Jason Burroughs

DieselGreen Fuels

Visit our website <http://www.dieselgreenfuels.com/>

512-391-0569 office

512-992-8677 mobile

512-287-4229 fax



Garrett Sullivan wrote:
> Hello, fellow sustainables!  Does this news release mean what I think it does??
>
> "On Thursday, the US House Ways and Means Committee approved the
> Energy and Tax Extenders Act of 2008. The legislation extends the $1
> biodiesel tax incentive until Dec. 31, 2009 and provides the incentive
> for all biodiesel regardless of feedstock; closes a loophole allowing
> foreign biodiesel to claim US tax credits; and cuts in half tax
> benefits available to co-processed renewable diesel."
>
> Does WVO now get the full $1 per gallon?
>
> Garrett Sullivan
> Colorado Biodiesel Solutions
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