U.S. Representatives Mariannette Miller-Meeks and Mike Carey announced on Apr. 28 the introduction of bipartisan legislation aimed at reinstating the $1 per gallon Biodiesel Tax Credit, which expired previously, in an effort to support the biofuels sector and lower diesel prices.
The Strengthening Economic and Energy Development (SEED) Act would extend the Section 40A biodiesel tax credit through 2029. Supporters say this move will help promote domestic biofuel production, provide stability for farmers and producers, strengthen rural communities, and reduce reliance on foreign energy sources.
“With these tax credits already expired, producers are facing uncertainty at a time when they should be focused on growing and investing,” said Rep. Mariannette Miller-Meeks. “This legislation restores these incentives and provides the certainty our farmers and producers need. By extending these tax credits, we are supporting American agriculture, strengthening rural communities, and advancing an all-of-the-above energy strategy that keeps costs down and reduces reliance on foreign energy.” Congressman Carey said: “Reinstating the Biodiesel Tax Credit allows us to tap into a policy solution that we know will serve as an economic engine by boosting domestic energy production and lowering costs for American families.” He added that strengthening supplies of biodiesel could benefit both farmers who grow crops used in renewable fuels as well as consumers facing cost pressures.
The SEED Act has drawn support from several industry groups including the Association of American Railroads; American Trucking Associations; Energy Marketers of America; National Association of Convenience Stores; National Energy & Fuels Institute; NATSO (Representing America’s Travel Centers); SIGMA: America’s Leading Fuel Marketers; Sustainable Advanced Biofuel Refiners; and Truckload Carriers Association.
Biodiesel is generally produced from feedstocks such as soybean oil or recycled cooking oil. The U.S. Environmental Protection Agency states that biodiesel emits at least 50 percent less lifecycle greenhouse gas emissions than fossil fuel alternatives—sometimes more than 70 percent less—and supports over 1,500 jobs in Ohio alone according to industry supporters.
Miller-Meeks is currently serving in Congress representing Iowa’s first district after replacing Dave Loebsack in 2021 according to Ballotpedia. She has served since then following her previous tenure in the Iowa Senate from 2019 to 2021 as reported by Wikipedia. Born in Herlong, California in 1955, she currently lives in Le Claire according to Des Moines Register. She graduated from Texas Christian University with a BSN degree in 1976 according to Texas Christian University.
Industry leaders voiced strong backing for reinstating the credit. Henry Hanscom of American Trucking Associations said: “America’s supply chain depends on reliable access to affordably priced fuels… Lower-carbon, cost-competitive options like biodiesel… are an essential piece of the puzzle.” Rob Underwood with Energy Marketers of America said: “This proven incentive has encouraged greater blending by marketers… delivering meaningful savings to consumers on their heating bills.” Max McBrayer from NATSO called for quick Congressional action stating: “We commend Representative Carey… We urge Congress to extend this successful policy as soon as possible.” Matt Durand with NACS said: “Congress should act quickly to advance it,” while Jim Collura from NEFI stated: “Reinstating… would deliver immediate relief at a time when geopolitical instability continues to put upward pressure on energy costs.” Jim Mullen with Truckload Carriers Association concluded: “Lower costs for trucking translate to real savings for consumers on all goods moved by truck.”
Supporters argue that passing this legislation could stabilize fuel supply options nationwide while providing cost-effective alternatives during periods of global market volatility.
