Clean-Fuel Tax Credits On A Fast Track

Credit: U.S. Department of Energy
Gemini Sparkle

Key Takeaways:

  • The Biden administration is aiming to finalize rules for clean-fuel tax credits, including for sustainable aviation fuel (SAF), to take effect in 2025 before President-elect Trump's inauguration.
  • These rules are intended to provide credits for producing lower-emission transportation fuels.
  • There is no guarantee that the administration will be able to complete the work on establishing these rules in time.
  • Separately, President-elect Trump plans to reverse Biden's pause on liquid natural gas (LNG) approvals.
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Reuters reported Sunday (Nov. 17) that the Biden administration plans to try to finalize rules on clean-fuel tax credits before President-elect Donald Trump is inaugurated on January 20. A White House official said the intent is to provide credits for producing sustainable aviation fuel (SAF) and other lower-emission transportation fuels starting in 2025. “I’m not going to make any announcements,” the official said, “except that we’re working very hard to finish the rules.” The announcement included the caveat that there is no guarantee work will be completed on establishing the rules for clean-fuel tax credits.

Earlier this year, according to the Reuters report, President Biden ordered a pause in approvals for liquid natural gas in light of a new study scheduled to be released today (Nov. 20). President-elect Trump has said he would move forward on the LNG approvals.

Mark Phelps

Mark Phelps is a senior editor at AVweb. He is an instrument rated private pilot and former owner of a Grumman American AA1B and a V-tail Bonanza.
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