Fuel retailers urge Congress to reinstate biodiesel tax credits

Fuel retailers have reminded lawmakers that the transition away from the Biodiesel Blenders’ Tax Credit to the ‘45Z’ Clean Fuel Production Tax Credit is stifling demand for renewable fuels made from corn and soybeans, leading to higher fuel prices.
NATSO, representing truck stops and travel centres, SIGMA: America’s Leading Fuel Marketers, and the National Association of Convenience Stores (NACS) said in a letter to the Senate Committee on Agriculture, Nutrition and Forestry that the biodiesel market has dried up since the expiration of the Biodiesel Blenders’ Tax Credit and its replacement with ‘45Z.’ “Recent policy changes have left consumers and American farmers behind,” the organisations said in the letter.
“We encourage the Committee, starting with today’s hearing, to work with stakeholders throughout the country to bring back the Biodiesel Blenders’ Tax Credit so that biofuels can go back to playing the role that they used to play: lowering retail fuel prices in the United States.
“Farmers, producers, and consumers all benefit from a tax credit that incentivises the consumption of biofuel.
“Biofuel policy works best when it helps the entire supply chain lower consumers’ costs at the pump.”
Representing 90 percent of fuel sold at retail, NATSO, SIGMA and NACS said when Congress enacted the One Big Beautiful Bill, fuel retail prices were stable.