The National Biodiesel Board, its member companies, allied trade associations and industry partners sent a letter Nov. 14 to House and Senate leaders, urging them to extend the expired biodiesel tax incentive before the end of the year. The letter attempts to impress on the congressional leaders “that an immediate extension of the biodiesel tax incentive is needed to prevent a severe economic disruption of the U.S. biodiesel industry.”

Signed by 140 companies and organizations from across the biomass-based diesel value chain, the letter states, “The U.S. biodiesel and renewable diesel industry’s continued success is at stake. Tens of thousands of American workers and manufacturers—as well as the millions of Americans who benefit from cleaner air and water—are depending on you to provide our industry the certainty we need to continue our growth.”

The letter continues, stating, “Since the start of the year, 10 biodiesel plants have closed or cut back production, furloughing several hundred workers; the states impacted include Connecticut, Georgia, Indiana, Iowa, Michigan, Mississippi, Missouri, Pennsylvania and Texas. The economic fallout spreads across the U.S. economy, impacting more than 7,500 total jobs. Immediate extension of the tax credit is needed to prevent more plant closures, more production cutbacks, and more job losses.”

Kurt Kovarik, NBB’s vice president of federal affairs, added, “Continued uncertainty about the tax incentive impacts businesses, workers and industry partners across the economy and in every state. The number of companies and trade groups that joined us on the letter demonstrates the broad impact. Biodiesel producers simply can’t plan and invest for the future—they’re making the very difficult choice to shut down. Our industry needs Congress to act before the end of the year to stop more shutdowns and job losses.”

To view the letter and its signatories, click here.