White House petition launched for biodiesel tax reform

A plant manager in Mississippi has launched a petition to reform US biodiesel tax law. Phillip Harden, manager at Scott Petroleum, hopes to draw attention to the growing campaign to reinstate the expired $1 per gallon biodiesel tax credit, and reform it to assist domestic producers, according to Biodiesel Magazine.

The US’ biodiesel tax incentive lapsed on 31 December 2016.  A nationwide campaign has been launched to not only extend the incentive until 2019, but to reform it to a producer’s credit aimed at supporting domestic production.

A third of the biomass based diesel consumed in the US in 2016 came from abroad, totalling nearly 1 billion gallons of biodiesel and renewable diesel imported from Argentina, Indonesia, Singapore and Canada.  Currently, the biodiesel tax credit is a blender's one, meaning, according to Harden’s petition, that blenders are incentivised to use imported rather than American biodiesel.  

Campaigners believe that the US biodiesel industry can only thrive if the threat from imported fuel is removed from the market. At present the US biodiesel market employs 64,000 people and provides over $11.4 billion (EUR 10.7 billion) in economic benefits. Harden’s petition suggests that these jobs and economic benefits are at risk unless US biodiesel tax law is reformed.

Harden’s White House petition is seeking 100,000 signatories by 23 April,2017.