Reps. Kind & Lewis Introduce First of its Kind Biogas Investment Tax Credit
Aug 1, 2012
After two years of work by the American Biogas Council and its members with Congress, the biogas industry has reached an important milestone: introduction of the first biogas investment tax credit for biogas production. Continuing the previous work of Senator Nelson and Representative Higgins who sponsored production tax credits for biogas, Representatives Ron Kind (D-WI) and John Lewis (D-GA) introduced H.R.6212 yesterday which provides a 30% investment tax credit for qualifying biogas technologies.
While introduction of a bill is only the first step in a long process for it to become a law, this bill marks an important moment for the biogas industry as this is the first time an investment tax credit (ITC) for biogas production has been proposed by Congress. It also comes at an important time for biogas to be recognized not just as a fuel to generate renewable electricity but also as renewable substitute for natural gas in vehicles, industry and homes. The bill itself embraces a wide range of biogas technologies, including anaerobic digesters and other biological, chemical, thermal, or mechanical processes which produce biogas with a minimum 52% methane content. The American Biogas Council applauds the leadership of Reps. Kind and Lewis in introducing this legislation. You can find a summary of the bill here.