Final rule is a first step in enabling farmers to expand benefits from growing domestic biofuel market |
| WASHINGTON, DC – Today, Clean Fuels Alliance America thanked Agriculture Secretary Brooke Rollins for finalizing the Production of Regenerative Agricultural Biofuel Feedstocks rule and for providing an updated version of the USDA Feedstock Carbon Intensity Calculator (USDA FD-CIC). The rule provides U.S. farmers practical guidelines to implement regenerative agriculture practices and calculate additional value from providing feedstock to domestic biodiesel, renewable diesel, and SAF producers.
“Clean Fuels and its members thank Secretary Rollins for finalizing rules that will help farmers get more value from the expanding domestic market for biomass-based diesel,” said Kurt Kovarik, Clean Fuels’ Vice President of Federal Affairs. “We appreciate USDA’s responsiveness to industry input and simplification of the calculator. We look forward to future updates that will provide farmers additional feedstock and regenerative agricultural management options.”
In comments to the interim rule published in January, Clean Fuels recommended that the Feedstock Carbon Intensity Calculator include all feedstock pathways approved under the Renewable Fuel Standard. Clean Fuels specifically requested that the calculator include intermediate oilseeds – e.g., winter canola and pennycress – and conservation crop rotation as a regenerative agriculture practice. Clean Fuels will continue to contribute to research that will quantify the emissions reduction benefits of conservation crop rotation.
The U.S. Treasury has stated that it intends to enable biofuel producers to utilize the Carbon Intensity Calculator in calculating 45Z Clean Fuel Production Credit values for 2025 and 2026. The Department of Energy and Argonne National Labs must first incorporate the calculator as a module in the 45ZCF-GREET model and Treasury must then issue guidance allowing taxpayers to claim enhanced 45Z credits. |
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