U.S. Rep. Cheri Bustos, D-Illinois, deserves thanks for co-sponsoring the Biodiesel Tax Credit Extension Act of 2019 (HR 2089). This bipartisan legislation would provide a two-year extension of the biodiesel and renewable diesel tax incentive.
Many industries – from farmers and biofuel producers, to fuel blenders and truckers – rely on the tax incentive. If biodiesel production slows down, it would impact jobs and economic prospects in all of these sectors. Biodiesel production supports more than 60,000 jobs throughout the United States and across many industries. Illinois’ biodiesel production supports good-paying jobs in several states as well as the state’s farmers.
Biodiesel production is a key market for Illinois’ soybean producers. It adds more than 60 cents to the value of every bushel of soybeans. That value is important right now, when grain storage bins are full and prices are low. Soybean oil averages close to 30 cents a pound.
The situation is urgent. The tax incentive has been expired for more than 15 months already. Congress has signaled several times over the past year that it would renew it, so everyone who shares the value of the tax incentive – farmers, biofuel producers, and blenders – has counted on it.
Rep. Bustos understands that and is working hard to convince her congressional colleagues to act quickly.