IL Corn Submits Comments on 45Z

July 25, 2024

Today the IL Corn Growers Association (ICGA) submitted comments to the United States Department of Agriculture in an effort to impact corn demand and future ethanol markets.

 

Illinois farmers have a role to play in helping U.S. ethanol plants capture the 45Z tax credit by lowering their carbon intensity (CI) score with low CI feedstocks like corn. ICGA comments will help ensure farmers are best positioned to receive some of that value regardless of location to an ethanol plant and with as much flexibility at the farm gate as possible.

 

Following the release of the 40B Inflation Reduction Act (IRA) tax credit in April, the USDA asked for industry input when crafting conservation guidelines for the next IRA credit. The 45Z tax credit will give sustainable aviation fuel producers an incentive for products with carbon intensity (CI) scores reduced by 50%.

 

“If written correctly, the 45Z tax credit could play a monumental role in recognizing the climate benefits of corn and creating unprecedented corn demand in new biofuel markets,” Director of Conservation and Nutrient Stewardship Megan Dwyer said, “Your team at IL Corn has had a seat at the table and worked hard to ensure the concerns of Illinois farmers are heard."

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