Monday, January 3, 2011
Happy New Year, Biodiesel Is Back Baby!
Congratulations!!! Congratulations to the biodiesel industry as a whole! We have overcome another industry challenge. It took over a year of persistent efforts from every biodiesel supporting entity but we have prevailed. The $1 biodiesel tax credit has finally passed in congress. The biodiesel tax incentive makes biofuel a price competitive alternative fuel with petroleum diesel.
The lapse of the tax incentive on December 31, 2009 has had a detrimental impact on the biodiesel industry, causing plants to either cut back or terminate production entirely. The retroactive reinstatement and extension of the tax incentive is expected to increase domestic biodiesel production and help big oil companies meet the RFS2 mandates.
The unexplainable lag of congressional support felt like a punch to the gut. However, congress has finally made the correct decision by recognizing that biodiesel is currently the only viable domestic alternative fuel. I am eager to see the progression in the biofuel industry in the upcoming years. Here’s to a prolific 2011 for the biodiesel industry.
- Dimitry Greentree