House Republicans would eliminate several tax credits for the biofuels industry, including the $1.25-a-gallon credit for sustainable aviation fuel, in the budget bill that could be put to a vote next week.
The package also would eliminate incentives created in the 2022 climate, health, and tax bill for biomass-based diesel fuel and second-generation biofuels.
“Congress should not waste time or energy on political messaging bills that do not advance the national interest,” said the American Clean Power Association in response to the Republican plan. The trade group said the focus should be on energy security rather than jeopardizing thousands of jobs in an industry poised for growth.
The White House budget office said the House GOP package would mean a 22 percent cut in discretionary spending on programs outside of the military. “A 22 percent cut would mean 1.7 million women, infants, and children would lose vital nutrition assistance” through WIC, “significantly increasing child poverty and hunger,” it said.
The House GOP package is available here.
