By Jamie Martin
The Missouri Corn Growers Association (MCGA) has expressed significant concern over recent modifications made by the U.S. Department of Treasury to the Greenhouse Gases, Regulated Emissions, and Energy Use in Transportation (GREET) model. This model is crucial in determining the eligibility for biofuel tax credits under the Inflation Reduction Act, which are only awarded if the biofuels show a 50% reduction in greenhouse gas emissions.
MCGA President Brent Hoerr criticized the Treasury's decision, stating that the revised model demands unrealistic uniformity in farming practices—specifically no-till farming, the use of enhanced efficiency fertilizers, and cover cropping—to qualify for the tax credit. According to Hoerr, these stipulations are impractical for many growers in Missouri and across the Corn Belt due to varying soil types and farming conditions.
The new requirements pose a significant challenge as currently, no ethanol plants in Missouri nor a substantial portion of corn acres meet these criteria. This change not only affects the immediate economic opportunities for corn growers but also overlooks the progressive steps they have been taking towards sustainable farming.
Hoerr emphasized the necessity for corn growers to have greater influence in shaping the next version of the guidelines, particularly those concerning the 45Z clean fuel production tax credit. The MCGA is actively working to ensure that growers can maintain control over their farming practices and data, while still participating in the sustainable aviation fuel market.
Photo Credit: missouri-corn
Categories: National