At Christianson, we’ve long partnered with participating U.S. biofuel producers in low-carbon programs like the Renewable Fuel Standard (RFS) and state low-carbon fuel initiatives. Now, Climate-Smart Agriculture (CSA) practices offer farmers, like you, a vital role in meeting new carbon reduction programs.
Earlier this year, CSA practices became a significant requirement for biofuel producers to qualify for the Sustainable Aviation Fuel (SAF) tax credit (40B). This means that farmers adopting specific climate-smart farming practices are now essential for renewable fuel producers to demonstrate reduced carbon emissions, qualifying them for these valuable credits.
While the 40B SAF tax credit expires at the end of this year, the Clean Fuel Production Credit (45Z) takes its place and is slated to begin in January 2025 and continue for three years, with a proposed legislative extension in process. While we’re still awaiting official guidance from the Treasury Department, it’s expected that the 45Z requirements will be similar to those under the 40B tax credit, meaning CSA practices will likely remain essential.
read our 40B insights
To help you navigate these updates, we’ve created a FREE booklet for you.
Make sure you have all the information you need on current CSA requirements for the 40B tax credit!
If you have questions or want support on how these changes impact your operation, our team is ready to help. Let’s work together to make the most of these new opportunities!
