U.S. Senate approves extending biodiesel tax credit, final passage

Not that long ago, forecaster Don Reynolds said that biodiesel is poised to make a big comeback in 2010, a time of "recovery and renewed momentum" for the industry. The U.S. Senate has done its part to make Reynolds look smart by passing a bill that includes the reinstatement of the biodiesel blenders' tax credit. The $1 per gallon credit expired at the end of 2009 but the recently passed bill makes it retroactive to the beginning of 2010 and continues it for the whole year. The House has already passed a similar bill, so reconciliation and a presidential signing still need to be worked out. Considering that the biodiesel tax credit language is included in a jobs bill, the Hiring Employees to Restore Employment (HIRE) Act, we expect a positive outcome. The National Biodiesel Board certainly wants to see the bill passed, claiming that:

further delay addressing the tax credit is certain to make the job loss situation worse and imperil the 23,000 green jobs the industry currently supports.

The HIRE Act also sets the stage for cleaner transportation bills down the road.
[Source: Renewable Energy World]