Biodiesel Day on the Hill
March 4, 2020
Des Moines, Iowa
Biodiesel Supporters Urge Iowa Legislators to Extend Fuel Tax Incentive
Iowa biodiesel producers, soybean farmers and other supporters took to the State Capitol to ask lawmakers to extend a break in fuel tax for diesel that contains at least 11 percent biodiesel.
The policy has almost tripled the number of retailers carrying biodiesel in Iowa, proponents said, increasing availability for consumers while bolstering the state’s farmers and economy.
The Fuel Tax Differential amounts to a 3-cent per gallon reduction in the cost of fuel tax for blends of 11 percent biodiesel (B11) or higher. The provision will sunset this year without legislative action.
“This policy has had extraordinary success at boosting biodiesel availability and use in Iowa, and that benefits all Iowans,” said Grant Kimberley, executive director of the IBB.
“Biodiesel provides thousands of jobs, supports our struggling farm economy, and benefits the environment.”
Almost half of Iowa’s onroad diesel supply contains at least 11 percent biodiesel, increasing availability to Iowans, and the state remains the top producer of the renewable fuel, proponents said.
The IBB also told legislators it fully supports Governor Kim Reynolds' request for $5 million annually for biodiesel and ethanol infrastructure, through the Rebuild Iowa Infrastructure Fund.
Iowa Biodiesel Day on the Hill (Courtesy REG)
