The National Biodiesel Board teaming up with 140 member companies, allied trade associations, and industry partners to send a letter to House and Senate leadership on expired tax incentives. They’re asking Congress to extend those incentives before the end of 2019. The Hagstrom Report says the letter attempts to convince Congressional leadership that an “immediate extension of the biodiesel tax incentive is vital to prevent a severe economic disruption of the U.S. biodiesel industry.”
The groups say 10 biodiesel plants have closed or cut back on production since the start of 2019. Several hundred workers have been furloughed and as the economic impact spreads across the U.S. economy, it will impact more than 7,500 jobs. Connecticut, Georgia, Indiana, Iowa, Michigan, Mississippi, Missouri, Pennsylvania, and Texas have all seen work slowdowns or stoppages at their biodiesel plants.
NBB Vice President of Federal Affairs Kurt Kovarik says an immediate extension of the tax credit is vital to prevent more plants from closing, more production cutbacks, as well as potentially many more jobs being lost.
“Continued uncertainty about the tax incentive impacts businesses, workers, and industry partners across the economy and in every state,” Kovarik adds. “The number of companies and trade groups that joined us on the letter demonstrates the broad impact of the expired incentives.”