State biodiesel legislation picks up

By | March 01, 2005
In the first quarter of 2005, 18 states have already introduced nearly 45 pieces of legislation involving either the incentive to produce or the requirement to use biodiesel, according to FarmWeek News. Biodiesel Magazine would like to touch on some of these measures currently being considered across the country.

New York Gov. George Pataki pushed biofuels during his State of the State address in Albany. During his address, Pataki said, "I will sign an executive order requiring our state agencies to begin phasing in the use of biofuels to heat our state buildings and power our trucks." The executive order goes along with the New York Public Service Commission's adoption of a Renewable Portfolio Standard in 2004, which states 25 percent of the New Yorks's state's energy must come from renewable sources by 2013. Additionally, New York's Suffolk County Legislature
has unanimously passed Resolution No. 2070-2004, incorporating the use of B20 in diesel-operated vehicles at the Bergen Point Naval Ship Yard; the pilot program will be evaluated after one year.

Wisconsin Gov. Jim Doyle announced details of his Biofuels Initiative, in which he plans to budget $2 million for grants to be awarded to farmers and producers. Doyle's administration plans to establish the Consortium on the Biobased Industry, which would determine the "best practices" for development of biobased products.

Kentucky's Composite Energy Report (KCER) calls for an unspecified restructuring of the state's biodiesel production and usage incentives to promote "the production, consumption and availability of biodiesel" in the state. Implementing some of the KCER's recommendations, Gov. Ernie Fletcher signed an executive order Feb. 7, requiring the Transportation Cabinet (TC) diesel fleet to use B2. The same order directs the TC and the Finance and Administration Cabinet to develop procurement contracts, maximizing the market accessibility of B2.
Indiana recently increased the cap on biodiesel tax credits for producers and blenders from $1 million to $5 million. A separate bill, AB1032, would require state agency vehicle fleets to use biodiesel blends whenever feasible.

Michigan is currently considering a bill modeled after Minnesota's pending B2 mandate, in which all diesel fuel sold in Michigan would be required to contain B2, said Dulcey Simkins of the Michigan Biomass Energy Program.

The Oregon Environmental Council established the 2005 Biofuels Package, which proposes property tax exemptions for biodiesel production facilities, tax incentives for grower-owned oilseed crushing facilities, an incrementally increasing renewable fuel standard with the state diesel supply incorporating B5 by 2010, and fuel tax reductions proportional to the blend.
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