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Senate Ag Committee releases draft Farm Bill that includes significant updates to USDA’s loan guarantee program

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By Erin Voegele

November 19, 2024

Policy

Sen. Debbie Stabenow, D-Mich., chairwoman on the Senate Agriculture, Nutrition and Forestry Committee, on Nov. 18 introduced the Rural Prosperity and Food Act, which is the Senate’s version of the upcoming Farm Bill.

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Rep. Randy Feenstra, R-Iowa, and five of his colleagues on the U.S. House Ways and Means Committee on Nov. 18 announced they are seeking additional information from relevant stakeholders on biofuel tax policy. Reponses must be submitted by Dec. 13.

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The Biden-Harris administration released a new report, Building a Vibrant Domestic Biomanufacturing Ecosystem, to advance biotechnology and biomanufacturing as part of a broader national bioeconomy implementation plan.

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A group of 36 biofuel, biogas, agriculture, energy and fuel retailer trade groups on Nov. 13 sent a letter to federal lawmakers urging Congress to extend several expiring tax credits during its Lame Duck session.

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The U.S. EPA on Nov. 12 delivered a proposed rule to the White House OMB pertaining to the RFS. The title of the proposal indicates the rule would waive a portion of the 2024 cellulosic RVO and offer an extension of the 2024 compliance deadline.

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On Nov. 13, U.S. EPA Administrator Michael S. Regan announced the appointment of 18 new members and reappointment of 6 members to the Farm, Ranch, and Rural Communities Federal Advisory Committee.

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President-elect Donald Trump on Nov. 11 announced he will nominate Lee Zeldin to serve as administrator of the U.S. EPA. Zeldin previously served as a member of Congress, where he cosponsored legislation to repeal and revise the RFS.

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CARB on Nov. 8 approved updates to its LCFS that aim to reduce the CI of the state’s transportation fuel by 30% by 2030. The updates also alter how a variety of biofuels, including biobased diesel and RNG, participate in the program.

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Aemetis Inc. on Nov. 5 announced strong support for the updated Low Carbon Fuel Standard proposal and strongly urges its adoption by the California Air Resources Board at its meeting on Nov. 8.

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The California Air Resources board has announced an historic agreement with the nation’s leading passenger and cargo airlines to dramatically accelerate the use of sustainable aviation fuel (SAF) for flights within the state.

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The USDA on Oct. 29 announced it is allocating $200 million to the newly created Biobased Product Market and Access Grant Program, which will support innovative biobased technologies and bridge the gap between pilot-scale demonstrations and commercial viability.

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The call for presentation abstracts for the 18th Annual International Biomass Conference & Expo, produced by Biomass Magazine, is now open. The event will take place March 18-20, 2025, at the Cobb Galleria Centre in Atlanta, Georgia.

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SAF offers a significant opportunity for growth in the biofuel sector and a new revenue stream for farmers, but realizing that potential will depend on the establishment of favorable policies and adequate incentives, according to CoBank.

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Rep. Brad Schneider, D-Ill., on Oct. 22 introduced the Expanding Clean Fuel Production Act. The bill aims to extend the 45z clean fuel production credit for 10 additional years, through 2037. The credit is currently in place through 2027.

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E2 on Oct. 15 released a new analysis on the Inflation Reduction Act’s impact along with a survey of more than 900 businesses that indicates repealing or rolling back the IRA’s provisions would result in losses, layoffs and closures.

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The U.S. Treasury Department and IRS on Oct. 18 issued additional guidance for the 40B SAF tax credit. The new guidance, Notice 2024-74, addresses the use of an updated 40BSAF-GREET 2024 model released by the U.S. Department of Energy in October.

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More than 1.99 billion RINs were generated under the RFS in September, up from 1.96 billion generated during the same month of last year. Total RIN generation for the first nine months of the year reached 18.58 billion

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Calumet Inc. announced on Oct. 16 that the U.S. Department of Energy Loan Programs Office has awarded a conditional commitment for a loan guarantee of up to $1.44 billion to fund SAF capacity expansion at Montana Renewables LLC.

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Gevo Inc. on Oct. 16 announced it has received a conditional commitment for a loan guarantee with disbursements totaling $1.46 billion from the U.S. Department of Energy Loan Programs Office for its Net-Zero 1 project (NZ1) in South Dakota.

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American Farm Bureau President Zippy Duvall on Oct. 15 urged the administration to prioritize American-grown crops in the production of sustainable fuels during a meeting at the White House organized by the AFBF.

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The USDA on Oct. 15 held a third virtual listening session as part of its public consultation on climate-smart ag for biofuel feedstocks. During the event, biofuel groups advocated for flexibility in CSA requirements for the 45Z credit.

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The IEA on Oct. 9 published its annual Renewables market report, which for the first time includes a chapter focused on renewable fuels that outlines expected growth in liquid biofuels, including SAF, biogas, and other forms of bioenergy through 2030.

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The Clean Energy Ministerial (CEM) Biofuture Platform Initiative has unveiled a new Global Biomass Resource Assessment, providing groundbreaking data on current and future sustainable biomass supplies around the world.

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U.S. Sens. Jerry Moran, R-Kan.; Tammy Duckworth, D-Ill.; John Boozman, R-Ark.; and Amy Klobuchar, D-Minn.; recently launched the Senate Sustainable Aviation Caucus to promote the longevity of the aviation industry and the renewable fuels industry.

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Sen. Roger Marshall, R-Kan., and Rep. Tracey Mann, R-Kan., on Sept. 24 introduced Farmer First Fuel Incentives Act, a bill that aims to extend the 45Z credit through 2034 and restrict the credit to fuels made from domestically produced feedstock.

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The U.S. EPA has announced that 2.06 billion RINs were generated under the RFS in August, down from 2.07 billion generated during the same month of last year. Total RIN generation for the first eight months of 2024 reached 16.49 billion.

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Strategic Biofuels has published a free resource, “A Practical Guide to Forestry Feedstock Under the Renewable Fuel Standard.” The guide is the result of the work completed as part of a cooperative agreement signed with the U.S. Forest Service.

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The RFA has asked the U.S. EPA for an update on the agency’s investigation of certain biofuel feedstock imports and is urging the adoption of more stringent feedstock verification requirements for imported used cooking oil and tallow.

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Legislation introduced in the California State Assembly on Sept. 11 aims to prevent the California Air Resources Board from amending the state’s Low Carbon Fuel Standard regulations prior to Jan. 1, 2026.

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DOE BETO accelerates innovation to advance the US bioeconomy

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By Valerie Sarisky-Reed, BETO director

September 13, 2024

Valerie Sarisky-Reed, director of the U.S. Department of Energy’s Bioenergy Technologies Office, discusses ways her agency is doing its part to strengthen America’s bioeconomy and supply chain to support clean energy innovation.

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