King Language Included in Energy Policy Act

FOR IMMEDIATE RELEASE
July 28, 2005

King Language Included in Energy Policy Act
Extends Tax Credit to Ethanol, Biodiesel Producers

Washington, D.C.- U.S. Congressman Steve King today voted in favor of the Conference Report for H.R. 6, the Energy Policy Act. The Energy Policy Act contains provisions authored by King that would extend tax credits to ethanol and biodiesel producers.

The first bill King introduced in Congress was a push to extend the small ethanol producer tax credit to producers of up to 60 million gallons per year. Today's Conference Report includes King's language, which will expand the Small Ethanol Producer tax credit to those that produce up to 60 million gallons annually, for a tax credit of up to $1.5 million per year per producer.

In addition, King was the original author of legislation to expand to small biodiesel producers a ten-cent-per-gallon tax credit that is currently offered to small ethanol producers. This language was also included in the Conference Report.

"Western Iowa is one of the most productive areas in the nation for renewable energy," said King. "These tax credits will help biodiesel catch up to the great success we've seen in ethanol."

The Conference Report also includes a Renewable Fuels Standard (RFS) that would provide for a market of 7.5 billion gallons of renewable fuel by 2012. King co-sponsored legislation for an eight billion gallon RFS.

"We must take ownership of our own energy security, and adding value to the commodities we have produced for years will strengthen our rural economy," added King.

Western Iowa lays claim to six operating ethanol plants, two ethanol plants under development, three operating bio-diesel plants and one under development. King serves on the Agriculture Committee in the House of Representatives.

http://www.house.gov/apps/list/press/ia05_king/pr_050728.html