biofuel

New Tax Regulations Could Be a Boost for Farm Commodities

Dan Energy, Industry News Release

taxThe Environmental Protection Agency Thursday finalized a rule that establishes the required renewable fuel volumes under the Renewable Fuels Standard program for 2018 and biomass-based diesel for 2019. The agency set a total renewable fuel blending obligation of 19.29 billion gallons next year, maintaining the statutory requirement of 15 billion gallons of conventional biofuel such as corn-based ethanol and 4.29 billion gallons of advanced biofuel, including 288 million gallons of cellulosic biofuel, a slight increase from earlier proposals.

Some industry groups were concerned that the RVO number for cellulosic ethanol is not set higher than the 2017 volume, but were encouraged EPA raised the level by 50 million gallons above its July proposal.

Mike Zuzolo from Global Commodity Analytics was encouraged by that as well

Ethanol

Zuzolo is especially watching the progress for new tax legislation because of the impact tax cuts will have on commodities.

Tax

That’s Mike Zuzolo from Global Commodity Analytics.

From the National Association of Farm Broadcasting News Service.