Proposed MI legislation would offer biofuels tax credit
New legislation in Michigan could expand the adoption of biofuels.
Michigan State Senator Kevin Daley, chair of the state’s Senate Ag Committee, tells Brownfield legislation he’s introducing this week would create a tax credit for retailers selling alternative fuels like ethanol and biodiesel, “A five cent per gallon tax credit for E15 and then E85 will be a .085-cent-per-gallon,” he explains.
Daley says while there is a push for electric vehicles to help reduce emissions, biofuels are a solution today and support the state’s ag economy “We’re still going to have a combustible engine for a long time and we’re looking for a way to help the ag communities and the rural communities as well, so I think this is a good start,” he says.
Michigan currently has five ethanol plants and ag leaders say the move would help cut carbon emissions, provide consumers with a more affordable, locally produced fuel, and support the state’s corn industry.
Daley spoke with Brownfield during this week’s Michigan Agri-Business Association’s Winter Conference in Lansing.