Iowa Governor Kim Reynolds Tuesday signed into law some of the most comprehensive state biofuels legislation in the nation.
The legislation is expected to boost the sale of higher blends of biodiesel through an incentive-based approach.
Among other things, the bill increases a Biodiesel Production Tax Credit from two to four cents per gallon while updating the state’s Renewable Fuel Infrastructure Program to increase access to higher blends of biofuels.
Clean Fuels CEO Donnell Rehagen says, “Iowa joins the ranks of Illinois, Minnesota and others with some of the most forwarding-thinking legislation that values the production and use of biodiesel.”
The legislation also would provide access to E15 statewide by 2026 and update the E15 promotion tax credit to $0.09 per gallon year-round through 2025. Growth Energy CEO Emily Skor applauded the bill’s passage, saying the bill “offers drivers across Iowa the opportunity to not only save money at the pump but to make a simple change for the environment.”