Ag groups voice support for Michigan ethanol tax credit legislation
Legislation in Michigan that would give gas station owners a tax credit for every gallon of ethanol sold has the support of the state’s agriculture groups.
Chuck Lippstreau with the Michigan Agri-Business Association tells Brownfield that Senate Bill 814 by Senator Kevin Daley is needed to help make higher blends of biofuels available in more places. “It’s not just important for rural businesses, it’s important for anybody who drives a car or truck in the state of Michigan because this bill would enhance access to clean-burning biofuels that, by the way, are cheaper at the pump.”
Lippstreau says the bill would give a commonsense incentive to fuel stations to invest in the tanks and pumps for higher biofuel blends knowing they can recover the cost with the tax credit.
Michigan Farmers Union President Bob Thompson agrees. “Our members are fully in support of the Senator’s bill that would give the tax incentives to the station owners so that they could put pumps in that would allow that choice to be made.”
Michigan Senate Bill 814 was introduced in January and referred to the Agriculture Committee. It would provide retailers five cents for every gallon of E15 and 8.5 cents for every gallon of E85 sold to help incentivize stations to expand their ethanol fuel products. Thompson says it’s a bill both political parties and consumers can support because it allows consumers more access to a cleaner-burning and lower-cost fuel.