ASA: Act Now On Biodiesel Tax Incentive
With the biodiesel tax incentive set to expire on December 31, 2009, the American Soybean Association (ASA) says it is imperative that Congress extend the incentive before adjourning for the year. Specifically, ASA is urging that the biodiesel tax incentive extension be included in the pending the Department of Defense (DoD) Appropriations bill. The DoD Appropriations bill could be the last legislative vehicle enacted by Congress before it adjourns for the year.
ASA is asking its members and supporters to call their Senators and representatives and ask them to contact their respective Leadership to stress that the biodiesel tax incentive extension must be enacted before Congress adjourns for the year.
You can reach the U.S. Capitol Switchboard at 202-224-3121 and ask to speak with your Senators’ and Representative’s office.
ASA states: "Absent the biodiesel tax incentive, biodiesel production and consumption in the U.S. will come to a halt. A retroactive extension of the credit will not work. The biodiesel credit is structured in a unique manner that allows the value of the credit to be reflected in the price consumers pay for the fuel. Absent the incentive, biodiesel will be significantly more expensive than petroleum diesel fuel, and thus will not be produced or consumed domestically. In other words, producers will not make fuel to lose money, and consumers will not buy a fuel that is significantly more expensive than petroleum diesel."
ASA recommends you personalize and explain the impact the credit expiration will have on you, your business, and your state. Here are some helpful points:
- Biodiesel production will halt and jobs will be lost if the credit expires.
- Relate the potential impact in your community, such as the impact on state and local economic development.
- Explain the effect expiration of the credit would have on your bottom line ($0.25 per bushel).
- Biodiesel reduces our dependence on foreign oil.
- The biodiesel industry is creating green jobs and making a positive contribution to the economy.
- Biodiesel is good for the environment.