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Corn growers seek fair SAF tax credit standards

Corn growers seek fair SAF tax credit standards


By Jamie Martin

The National Corn Growers Association (NCGA) is urging the administration to establish fair and practical standards for farmers and refineries to access tax credits for sustainable aviation fuels (SAF).

This initiative comes in response to the Inflation Reduction Act's provisions, which incentivize the production of environmentally friendly biofuels.

NCGA President Harold Wolle emphasized the essential role of ethanol in reducing transportation emissions and its potential to do the same for aviation. He highlighted the need for criteria that consider varying regional agricultural practices, allowing farmers to effectively contribute to climate goals without a one-size-fits-all approach.

The current standards require biofuel producers to demonstrate a reduction in carbon intensity, primarily through the adoption of climate-smart agriculture practices.

corn growers have expressed concerns that the mandated practices may not be universally applicable or effective across all farming regions.

Wolle stressed the importance of flexible standards that recognize the diversity of American agriculture, ensuring that corn growers can participate in this emerging market without undue hardship.

The goal is to create a level playing field that supports the adoption of sustainable practices tailored to different agricultural environments, thereby making a significant contribution to the administration’s climate objectives.

Photo Credit: national-corn-growers-association

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