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Global Leaders in Advanced Biofuels Industry Urge Congressional Leaders to Extend Critical Tax Provisions
Date:2/29/2012

WASHINGTON, Feb. 29, 2012 /PRNewswire-USNewswire/ -- Leaders of America's rapidly emerging advanced biofuels industry urged congressional leaders today to extend two tax provisions that are critical to the commercialization of new biofuel production technologies.

In a letter addressed to the Chairs and Ranking Members of the House Ways and Means and Senate Finance Committees, more than 30 advanced biofuel company CEOs pressed for a five year extension of the Cellulosic Biofuels Producer Tax Credit (PTC) and the Accelerated Depreciation Allowance for Cellulosic Biofuel Plant Property.

Citing the need for continuity and parity in U.S. energy tax policy, the CEOs wrote, "[a]ccelerated depreciation allowances and production-related tax credits are currently offered to incumbent fossil energy industries … [these provisions] are critical to our efforts to attract capital given that these types of incentives are offered to other U.S. energy sectors. It will be much more difficult for our companies to develop projects in the United States if current depreciation allowances expire and taxes on our industry increase in 2013."

The Advanced Ethanol Council (AEC), the Biotechnology Industry Organization (BIO), and the Advanced Biofuels Association (ABFA) echoed the statements made in the letter.

"If the United States expects to lead the global effort to develop innovative alternatives to increasingly expensive petroleum-derived fuels, it cannot afford to allow the very policies that support emerging advanced biofuel industries to expire," said AEC Executive Director Brooke Coleman. "Extending these cost-effective tax provisions for a sensible length of time will level-set the marketplace relative to government support for fossil fuels and accelerate the commercial production of advanced biofuels from a wide variety of biomass and waste resources."

"Producing affordable domestic alternatives to all products that come from foreign o
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SOURCE Advanced Ethanol Council
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