Iowa Could be Latest State to Mandate Biodiesel

April 20, 2009

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As Iowa lawmakers head into what could be the final week of their legislative session, still on the table is a bill that would require biodiesel blends in the state.

According to published reports, the Iowa Senate last week passed a Biodiesel Fuel Quality Standard bill (SF 464), requiring the use of a 5 percent biodiesel blend in every gallon of diesel sold in the state. It also provides a 3-cent-per-gallon tax credit to retailers for every gallon of diesel sold containing at least a 10 percent blend of biodiesel.

The bill was written by Senate President Jack Kibbie (D, Emmetsburg) and sponsored by 30 other senators. It still must be approved by the House before going to the governor for his signature.

"I've talked with my constituents and know that energy security is a real concern," Kibbie says. "Increasing our use of biodiesel will reduce our dependence on foreign oil. Enacting just this one bill, Senate File 464, could displace a million barrels of oil per year."

The National Biodiesel Board applauded the move, noting that the legislation would add Iowa to a roster of seven states that have introduced standards to support using domestically produced biodiesel. Minnesota, Washington, Oregon, Pennsylvania, Louisiana, New Mexico and Massachusetts have all approved biodiesel requirements.

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