The Advanced Biofuel Trade Association’s member associations such as The Algal Biomass Organization (ABO), Advanced BioFuels Association (ABFA) and Biotechnology Industry Organization (BIO), thanked Sander Levin (D-Mich.), the Chairman of Ways and Means Committee, for enacting a statute that would allow algae and other second-generation biofuels to avail the cellulosic biofuels production tax credit, and also for the introduction of an optional investment tax credit.
Earlier the members of the association made a joint appeal to the Ways and Means Committee stressing the need for providing investment tax credit as available to other promising industries like wind, geothermal and biomass industries by U.S. Department of Energy and the Treasury which resulted in a number of jobs, and which will help the current complex biofuel projects to commercialize the technologies used.
The plea emphasized the hurdles confronted by the sophisticated biofuel producers in receiving the required investment for erecting bio-refineries and other infrastructure, and sought long term investment assistance from the federal government. They emphasized how an optional investment tax credit can assist the second generation biofuel developers, the required flexibility to opt for an appropriate tax incentive, either a 30 percent investment tax credit, or production incentives, that best suits the interests of their project, though the companies will not be allowed to claim benefits for both
The Advanced Biofuel Trade Association’s member associations deem the measures as good and look forward to hasty ratification of the edict, to attract more capital for the planned bio-refineries.