Fuel and Farm Groups Urge Speedy Resolve on SAF Tax Credits | Aviation International News

Sustainability and Environment

Fuel and Farm Groups Urge Speedy Resolve on SAF Tax Credits

At issue is the eligibility of ethanol-based fuel to receive federal tax incentives

Cornfield with ethanol refinery — A coalition of fuel manufacturers and agriculture stakeholders is advocating for the extension of SAF tax credits to ethanol-based biofuels using the U.S. Department of Energy's GREET model. © AdobeStock

By Curt Epstein • Business Aviation Services Editor

March 25, 2024

A coalition of biofuel producers and agriculture advocates have sent a letter to U.S. Treasury Secretary Janet Yellen urging the administration to swiftly resolve any hurdles in the ramp-up of sustainable aviation fuel (SAF). Specifically, the group is pushing for the adoption of the U.S. Department of Energy’s Greenhouse Gases, Regulated Emissions, and Energy Use in Technologies (GREET) model, which many believe will weigh corn ethanol-derived SAF more favorably and make it eligible for subsidies under the Inflation Reduction Act of 2022.

In consultation with the Environmental Protection Agency, Department of Transportation, and Department of Agriculture, the Department of Energy had promised to release an updated version of GREETs by March 1, which would incorporate new data and science, including new modeling of feedstocks and processes used in SAF production.

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