(NDAgConnection.com) – The U.S. Department of Agriculture (USDA) has opened a public feedback period to refine its evaluation of climate-friendly agricultural practices, essential for a forthcoming biofuel tax credit program.
Agriculture Secretary Tom Vilsack emphasized the importance of this initiative at a recent Clean Fuels Alliance America meeting.
Starting in 2025, the new tax credit program aims to lower transportation emissions by supporting farmers who implement sustainable practices in crop production for biofuels. These practices focus on carbon storage in the soil, contributing to environmental sustainability.
In April, the Treasury Department released guidelines for a sustainable aviation fuel tax credit, which were met with criticism from various farm and biofuel organizations. The guidelines required farmers to adopt a trio of specific practices—a requirement seen as unattainable by many.
Vilsack acknowledged the imperfections in the initial guidance and opened a 30-day consultation period to collect suggestions on improving the USDA’s approach.
The feedback could lead to adjustments in the bundling requirements of these practices, making them more reflective of real farming operations.
The USDA aims to finalize the rules by fall, allowing farmers adequate time to plan their crop strategies for the next year. The final issuance of the rule will be managed by the Treasury Department.
This initiative represents a critical step towards integrating agricultural practices with environmental conservation goals, ensuring a sustainable future for both the farming and biofuel industries.