Uncertainty Limits Investment in Biofuels

Uncertainty still surrounds the 45Z tax credit. “In any business, investments are needed to grow and investments happen mostly where there’s pretty good levels of certainty,” said Donnell Rehagen, CEO, Clean Fuels Alliance. “Where we have uncertainty in 45Z right now, it causes investments to sit and wait, it causes production to sit. Nobody wants to produce a fuel, in our case, that is going to lose them money so until they can really understand how that 45Z program is going to work, I think there’s going to be a lot of idled production.”