The Biden administration should set fair and reasonable criteria around farming practices for farmers and refineries seeking tax credits for sustainable aviation fuels, the National Corn Growers Association (NCGA) said in comments submitted this week to the U.S. Department of Agriculture.
“Ethanol has played a critical role in reducing greenhouse gas emissions in cars and trucks, and we can do the same for the airline industry,” NCGA President Harold Wolle noted after the comments were filed. “But we need a level playing field that allows farmers to meet emission requirements using environmentally smart practices that will work on their farms.”
The issue stems from tax credits allocated under the Inflation Reduction Act for sustainable aviation fuels that would allow farmers to participate in this emerging market.
To produce qualifying fuels under the standards set by the U.S. Department of Treasury, biofuel producers must show they have lowered their carbon intensity score. One way to do that, according to the guidance, is to use feedstocks grown using climate-smart agriculture practices.
Corn growers have raised concerns about bundling specific practices that may not work in certain regions of the country.
“Corn growers produce a commodity that will help the Biden administration meet its ambitious climate goals,” Wolle said. “But imposing a one-size-fits-all standard for attaining the tax credit will make it hard for us to contribute to the president’s grand challenge.”