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American Biogas Council praises introduction of US GREEN Act

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The American Biogas Council (ABC) has praised the introduction of the Growing Renewable Energy and Efficiency Now (GREEN) Act in the US. The Ways and Means Committee in the House of Representatives in Washington released a discussion draft of the GREEN Act on 19 November, including provisions to support the biogas industry.

In the draft, the Committee describes the bill as “a comprehensive approach to tackling climate change by using the tax code to extend and expand renewable energy use and reduce greenhouse gas emissions”. According to the ABC, the GREEN Act incorporates three initiatives the organisation has sought, including the creation of an investment tax credit (ITC) for RNG and heat-based biogas systems, the extension of the Section 45 production tax credit and related ITC, for electricity-biogas systems, and the extension of the Alternative Fuel Excise Tax Credit for biogas and renewable gas used as a vehicle fuel.

Patrick Serfass, executive director of the ABC, said: “The biogas industry appreciates the Ways and Means Committee’s response to our requests to create parity in our tax code. The lack of equity has slowed growth of our industry and the GREEN Act is a clear signal that its authors agree it’s time to get more biogas systems built.

“Our economy will be stronger and our climate better protected when we use these incentives to build more biogas systems to recycle organic material into renewable energy and soil products.”

The ABC stated the inclusion of incentives for all areas of the biogas and RNG industries signals that there is now a “greater understanding” of the benefits of biogas systems. The organisation added: “This is a major step in the right direction, and we remain hopeful that the bill will pass the House, advance in the Senate and b signed into law by President Trump.”