In 2005, Congress established a $1.00-per-gallon tax credit for U.S. fuel blenders who include biodiesel and renewable diesel in their fuel mix.
The tax incentive plays a key role in supporting growth of the U.S. biodiesel and renewable diesel industry, helping producers create jobs, diversify fuel markets, and strengthen U.S. energy security.
The U.S. biodiesel market grew from about 100 million gallons in 2005, when the tax incentive was first implemented, to more than 2.6 billion gallons annually today.
An LMC International study shows
that the U.S. biodiesel and renewable diesel industry supports more than 60,000 jobs across the United States, paying annual wages of $2.54 billion. The industry generates more than $11.42 billion in economic activity each year. Every 100 million
gallons of biodiesel production supports approximately 3,200 jobs.
To get more information on the biodiesel tax incentive and learn about NBB’s advocacy efforts on the issue, please visit the National Biodiesel Board's website.