National Business Aviation Association (NBAA) President and\nCEO Ed Bolen today welcomed President Biden\u2019s signing into law of the Inflation\nReduction Act of 2022, which includes an NBAA-championed blenders tax credit\n(BTC) for producers of sustainable aviation fuel, or SAF.<\/p>\n\n\n\n
Effective Jan. 1, 2023, a $1.25 per gallon credit will be\navailable for each gallon of SAF sold as part of a qualified fuel mixture with\na demonstrated lifecycle greenhouse gas (GHG) reduction of at least 50%\ncompared to conventional jet fuel. The stand-alone SAF tax credit increases by\none cent for each percentage point by which the lifecycle GHG emissions\nreduction of such fuel exceeds 50 percent, up to $1.75 per gallon.<\/p>\n\n\n\n
\u201cNBAA has long advocated for this blenders tax credit as a\nvital step in fulfilling our industry\u2019s pledge to achieve net-zero CO2 emissions\nby 2050 under the Business Aviation Commitment on Climate Change,\u201d said Bolen.\n\u201cImplementation of this credit marks genuine progress toward increasing SAF\nproduction, promoting greater availability at general aviation airports and\nreducing costs to end users.\u201d<\/p>\n\n\n\n
The BTC will be in effect through Dec. 31, 2024. On Jan. 1,\n2025, the Clean Fuel Production Credit (CFPC) will apply to all transportation\nfuels, based on the level of GHG reduction performance of a fuel versus a\nbaseline emissions factor.<\/p>\n\n\n\n
Under this system, SAF will be eligible for a credit of up\nto $1.75 per gallon for fuels with a 100% GHG reduction, with lower credits for\nfuels demonstrating lower levels of GHG reduction. The CFPC would expire on\nDec. 31, 2027, unless extended by Congress.<\/p>\n\n\n\n
The SAF BTC was first introduced in the U.S. House of\nRepresentatives by Reps. Brad Schneider (D-10-IL), Dan Kildee (D-5-MI) and\nJulia Brownley (D-26-CA) in May 2021 as part of the Sustainable Skies Act.\nSens. Sherrod Brown (D-OH), Reverend Raphael Warnock (D-GA), Maria Cantwell\n(D-WA) and Patty Murray (D-WA) championed similar legislation in the U.S.\nSenate.<\/p>\n\n\n\n
\u201cIn addition to the Biden\/Harris administration, NBAA\nextends our thanks to all the lawmakers who have promoted this credit and who understood\nits significance and its necessity,\u201d Bolen concluded. \u201cThis legislation puts us\non the path toward a truly net-zero CO2 aviation sector.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"
National Business Aviation Association (NBAA) President and CEO Ed Bolen today welcomed President Biden\u2019s signing into law of the Inflation Reduction Act of 2022, which includes an NBAA-championed blenders tax credit (BTC) for producers of sustainable aviation fuel, or SAF. Effective Jan. 1, 2023, a $1.25 per gallon credit will be available for each gallon […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[115],"tags":[],"class_list":["post-23189","post","type-post","status-publish","format-standard","hentry","category-national-news"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/stateaviationjournal.com\/index.php\/wp-json\/wp\/v2\/posts\/23189","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/stateaviationjournal.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stateaviationjournal.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stateaviationjournal.com\/index.php\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/stateaviationjournal.com\/index.php\/wp-json\/wp\/v2\/comments?post=23189"}],"version-history":[{"count":1,"href":"https:\/\/stateaviationjournal.com\/index.php\/wp-json\/wp\/v2\/posts\/23189\/revisions"}],"predecessor-version":[{"id":23190,"href":"https:\/\/stateaviationjournal.com\/index.php\/wp-json\/wp\/v2\/posts\/23189\/revisions\/23190"}],"wp:attachment":[{"href":"https:\/\/stateaviationjournal.com\/index.php\/wp-json\/wp\/v2\/media?parent=23189"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stateaviationjournal.com\/index.php\/wp-json\/wp\/v2\/categories?post=23189"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stateaviationjournal.com\/index.php\/wp-json\/wp\/v2\/tags?post=23189"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}