45Z clean fuel tax credits, which are key to expanding renewable fuel use in aviation fuel, may have to compete for dollars with President-elect Trump’s efforts to preserve his 2017 tax cuts. Will there be a so-far un-finalized 45Z tax credit for sustainable aviation fuel?
Renewable Fuels Association head Geoff Cooper says that will depend on funding to renew the Trump 2017 tax cuts.
Cooper says more Republicans are supporting Inflation Reduction Act programs like 45Z, including by forming a Senate Sustainable Aviation Fuel Caucus last year.
However, Trump and some GOP lawmakers are targeting the IRA with its EV tax credits and other clean energy incentives. Cooper says efforts are underway to convince Trump to keep 45Z and other biofuel credits.
More reason, Cooper says, for the Treasury to finalize 45Z rules sooner, rather than later.
