Proposed 45Z Rule Goes to OMB—FFAFD Urges Inclusion of Fischbach Provision

As reported in Biomass Magazine on December 18, “The U.S. Department of the Treasury and Internal Revenue Service on Dec. 17 delivered a proposed rule to set 45Z clean fuel production credit guidance to the White House Office of Management and Budget. OMB review marks a final stage before a proposed rule is released for public comment.”

Farmers for a Fair Deal (FFAFD) is urging the Treasury Department and OMB to make sure that the proposed rule includes the following technical provision that was recently requested in a letter [link the word “letter” to the attached PDF] from U.S. Representatives Michelle Fischbach (MN-07), Mariannette J. Miller-Meeks, M.D. (IA-01), Dusty Johnson (SD-at large), and Zach Nunn (IA-03) to Treasury Secretary Scott Bessent:

“Treasury should also consider continuing the requirement that electricity represented by an Energy Attribute Certificate (EAC) must be generated by a facility that is geographically located in the same U.S. Department of Energy Needs Study region as the 45Z-qualifying fuel production facility claiming the 45Z tax credit.”

As Fischbach, et al., noted, this provision would protect heartland economies and ensure that local electric infrastructure benefits from 45Z.

Once the proposed rule is available for public comment, Farmers for a Fair Deal will be urging the public to weigh in on the need for this provision to be included in the final rule.

Complete the form at the bottom of this page to be alerted when your input is needed during the official public comment period.