Biodiesel Tax Credit Wins Five-Year Extension

President Trump signed into law a year-end spending bill that includes a five-year extension of the federal biodiesel tax credit, the New England Fuel Institute said in an email to members today. The Institute called the extension “an important move that will help the heating oil industry achieve its goals of higher blends of renewable fuel and significant reductions in greenhouse gas emissions.”

The new law renews the biodiesel tax credit retroactively for 2018 and 2019. “To provide long-overdue certainty to the market and incentivize blending into the future, Congress is extending the credit for an additional three years, or through 2022,” according to the Institute’s email to members. The tax credit will continue to offer $1 per gallon for the blending of qualified biodiesel and renewable diesel into distillate fuels including home heating oil.”