|
 On
May 11, 2004, the Senate passed renewable energy tax incentives as part of the
bipartisan Jumpstart Our Business Strength (JOBS) Act (S.1637). "It makes sense
to use the tax code to develop alternative energy," Sen. Chuck Grassley, chairman
of the Senate Finance Committee, said. "Cutting taxes is an effective way to encourage
positive, environmentally conscious ways to produce electricity and fuel. This
is a good, green energy tax package. Anyone who's pumped gas lately will appreciate
alternative fuel incentives." Click
here to review the Senate version of the alternative fuel tax incentives in the
JOBS bill
The
measure includes a federal excise tax credit for biodiesel, a cleaner-burning
alternative to petroleum diesel made from renewable resources like soybeans grown
here in the U.S. The followings are the energy tax incentive priorities in the
bill: - An
income tax credit and excise credit for biodiesel fuel mixtures. These new
incentives would encourage the production of biodiesel, a clean-burning alternative
fuel made from domestic renewable sources, such as soybean oil. The tax credit
applies to biodiesel made from vegetable oil, animal fats, recycled oils, and
other greases.
-
An extension of the tax credit for the production of electricity from biomass,
organic material from plants. The credit first became law in 1992. This bill
expands the definition of biomass to include saw dust, tree trimmings, and agricultural
byproducts.
-
An expansion of the definition of an eligible small ethanol producer so
small cooperative producers of ethanol will receive the same tax benefits as large
companies. It also clarifies that the tax credit can flow through to the patrons
of the cooperatives.
-
A production tax credit for electricity generated from agricultural animal waste.
- A tax credit
for the purchase of alternative motor vehicles, including electric cars, and
an extension of the deduction for alternative vehicles, including hydrogen fuel-cell
cars.
Now
the House side battle remains. The JOBS bill will be debated in the House in the
next few days. The alternative fuel and infrastructure tax incentives should be
added to the House JOBS bill using language similar to that of the Senate JOBS
bill. Renewable
fuel has had strong bi-partisan support in Congress. The renewable energy tax
credit was included in the energy
bill, which the full U.S. House of Representatives approved last fall, as
well as the transportation
bill that the Senate approved in February. It should be enacted no matter
what the legislative vehicle is. The JOBS bill is one option and Congress now
pays attention to it. The
National Grange's policy statements on the renewable energy are as follows: -
The National Grange supports legislation to enact tax incentives to manufacturers
of blended fuels to expand and develop more refineries for the use of farm commodities.
- The
National Grange supports encouraging greater use of natural resources, especially
those that are renewable and non-polluting.
-
The National Grange supports legislation requiring the nation's motor fuels to
contain a renewable component (Biodiesel and/or Ethanol).
THE
JOBS BILL WILL BE CONSIDERED IN THE HOUSE IN NEXT FEW DAYS. PLEASE URGE YOUR CONGRESSMAN
TO ADD THE ALTERNATIVE ENERGY TAX INCENTIVES TO THE BILL! Contact
information for U.S. House Representatives
| Sample
Letter: |
Dear
Congressman ______________,
As
the House of Representatives begins to debate the JOBS bill, I would strongly
encourage you to support the addition of alternative fuel and infrastructure tax
incentives to the House version of the bill. As gasoline exceeds $2.00 per gallon,
it is clear that alternative transportation fuels are needed now more than ever.
The JOBS bill is an appropriate mechanism to advance alternative fuel tax incentives. Please
support the addition of alternative fuel and infrastructure tax incentives to
the House JOBS bill using language similar to that which recently passed the Senate
in S. 1637.
Sincerely, (Signature)
(Name)__________________________ (Grange/Grange
name and number) __________________________ |
|
Related information: Veneman
Announces $22.8 Million in Grants for Renewable Energy Initiatives If
you have any questions or comments please contact Legislative Research Analyst
Chil-Sook Hwang by fax: 202-347-1091
or by phone: 1-888-4GRANGE, ext 109. Thank
you for your grassroots participation in the National Grange Legislative program.
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to Subscribe To  The New
Grange? For all subscription and circulation inquiries, Contact: Jonathan
Hill. |
