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Lawmakers hear proposals on incentives for Michigan sustainable aviation fuel market
Lawmakers hear proposals on incentives for Michigan sustainable aviation fuel market

Yahoo

time21 hours ago

  • Business
  • Yahoo

Lawmakers hear proposals on incentives for Michigan sustainable aviation fuel market

Rep. Jerry Neyer (R-Shepherd) testifies to the House Transportation and Infrastructure Committee on his legislation offering tax credits on the purchase of sustainable aviation fuels, June 3, 2025. | Kyle Davidson Members of the Michigan House and Senate on Tuesday took up a set of mirrored proposals to establish incentives to produce more 'sustainable aviation fuel' which blend traditional jet fuel with propellants sourced from biomass like corn, soybeans, cover crops, forestry residue and hydrogen. Rep. Jerry Neyer (R-Shepherd), who sponsored House Bills 4424 and 4425, told members of the House Transportation and Infrastructure Committee that his legislation is aimed at bringing Michigan into the sustainable aviation fuel supply chain. If passed, Neyer said the bills would grant farmers access to another revenue stream and encourage the expansion of ethanol production facilities and the construction of fuel blending facilities. Sen. Joe Bellino (R-Monroe), who sponsored the Senate's package alongside Sen. Sam Singh (D-East Lansing), explained to members of the Natural Resources and Agriculture Committee that the bills would simply allow aviation companies who choose to use the fuels to claim a tax credit. 'It's not a mandate. It's an open thing that if Delta [Airlines] wants to do it, Delta can get a tax break on how much fuel they buy and how much they decrease their CO2,' Bellino said. The proposals offer a $1.50 rebate on the purchase of fuel blends that cut carbon dioxide emissions by 50% compared to regular jet fuel, with an additional two cents per gallon for every additional 1% in emissions reduced, with the rebate capping out at $2 a gallon. After 2030, any fuel used to claim the credit must use in-state sources for the organic materials used to produce the fuel. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX 'Either our airline industry can either buy this product from out of state and have it blended out of state, or we can provide the opportunity here with this tax incentive there to allow our our farmers and our producers here in the state to participate in this market and get a leg up on the industry,' Neyer said. Additionally, with the Federal Aviation Administration working to reach net-zero emissions by 2050, these fuels are plug and play with existing fuel systems, Neyer said. If approved, the program carries a 10-year expiration date, with Neyer telling the committee he hoped the credit would no longer be needed by that time. While testifying on the bill to the House committee, Sarah Gonzales, the director of state and local government affairs for Delta Airlines, assured members that the fuels are already in use, with California utilizing sustainable aviation fuels for a number of years and Delta flights out of Detroit utilizing the fuels for the first time this year. However, there is not enough of the fuel to meet demand for even a week, Gonzales said, noting that the current cost is two to 10 times that of traditional fuels. With Minnesota, Indiana, Illinois, Nebraska, Washington, Iowa and California all passing tax credits for sustainable aviation fuels, Michigan is in danger of being left out of the economic benefits, Gonzales said. Although the packages won support from organizations like Clean Fuels Michigan and Corn Growers of Michigan with bipartisan support in both chambers, they were not without opposition. Rep. Steve Carra (R-Three Rivers) spoke out against offering government incentives, arguing that these types of incentives take away from the market. 'What you're coming in here today is asking for not simply a promotion of this product, but it is still a peanut-level incentive of taking away from the free market and compelling taxpayers to fund and create a new atmosphere within the economy, further distorting the market,' Carra said. In response, John Delmotte, president of the Michigan Corn Growers Association, asked Carra to view it as an investment rather than a handout. During the Senate hearing, Nichole Keway Biber, the mid-Michigan campaign organizer for Clean Water Action, offered her opposition, arguing the incentives set aside $9 million in state funds that could be used to jump start lower-emission transportation solutions while supporting a status quo approach to energy. While the emissions that come out of the pipe might be cleaner, the residual impacts on the environment from large-scale farming operations may outweigh those benefits, Keway Biber said. 'This is no time for false climate solutions that divert investments and focus away from achieving realer sustainability of healthy communities and waterways,' Keway Biber said. As the House and Senate sit in deadlock, and Legislative leaders spar over the state budget ahead of the July 1 deadline, the packages showcase a sense of bipartisan, cross-chamber collaboration uncharacteristic of the current dynamic between the Democratic-led Senate and the Republican-led House. While the House and Senate Committees have yet to hold a vote on Neyer's bills, he told the Michigan Advance that the package would not likely come to a vote on the House floor until after the budget is done. However, it stands a good chance given the interest in the Senate, he said.

Low-hanging fruit won't fix this aviation mess
Low-hanging fruit won't fix this aviation mess

Yahoo

time5 days ago

  • Business
  • Yahoo

Low-hanging fruit won't fix this aviation mess

In the weeks leading up to Memorial Day, U.S. Rep. Sam Graves issued 'straight talk' newsletters on his support for law enforcement and his opposition to government waste. He praised the 'big, beautiful tax cut bill,' called for a more secure border and requested investigation into cancer cases at a local school. There's no harm in taking positions that align with voters in your district, but it's worth asking if something important is flying under the radar. Put it this way: If you're flying into Newark Liberty International Airport (or any airport for that matter), how concerned are you about the border or tax cut extensions until the wheels touch the ground? On two occasions within the last month, air traffic controllers lost radio and radar contact with flights at Newark for 90 seconds. Following a fatal in-flight collision in Washington, the Newark outages serve as a terrifying reminder of the rickety state of aviation infrastructure in the country. As chairman of the House Transportation and Infrastructure Committee, Graves has enormous clout that should be directed toward fixing this mess. Now it comes as good news that the massive federal spending bill that moved through the House contains $12.5 billion in badly needed modernization to the nation's air traffic infrastructure. It shouldn't have taken this long. Transportation Secretary Sean Duffy is blaming the Biden Administration for doing little to fix problems in the aviation industry. This is not as off-base as it sounds. Put it this way: If you're flying into Newark, are Biden's electric vehicle charging stations going to do anything for you when the tower loses radio contact? Biden lavished a lot of money on U.S. infrastructure, but much of that investment seemed to go to the green agenda instead of fixing problems with the Federal Aviation Administration. It's a fair point that merits discussion. But the problem for Duffy is he's the transportation secretary right now, not Pete Buttigieg. The problem for Graves is he's chairman of the transportation committee, not the border czar or ways and means chairman. As chairman of the committee devoted to transportation, Graves should be demanding answers from those who are in position to make things safer for Americans right now. Low-hanging rhetorical fruit won't fix this mess.

Blinded by the light: Should there be restrictions on headlights?
Blinded by the light: Should there be restrictions on headlights?

Yahoo

time22-05-2025

  • Politics
  • Yahoo

Blinded by the light: Should there be restrictions on headlights?

This story was originally published on A Washington Congresswoman is shining a light on what she says is a persistent problem for drivers—overly bright headlights. U.S. Representative Marie Gluesenkamp Perez told the House Transportation and Infrastructure Committee that the blinding beams are a danger on the roadway. She acknowledged that the new Bipartisan Infrastructure Law tried to improve safety by allowing manufacturers to install adaptive beams, which are supposed to adjust headlights to oncoming traffic and other environmental factors. 'But let's be honest. It has not helped,' Gluesenkamp Perez said. She told the committee she'd like to work with it and the National Highway Traffic Safety Administration to set standards for headlights, 'that retain visibility for drivers, but also reduce glare and increase safety for other drivers on the road.' She said this is not just a concern in her southwest Washington, Third Congressional District. 'This is something that draws ire from rural Americans, from older Americans, from law enforcement,' she said, adding social media is full of complaints. KIRO Newsradio found no shortage of critics on Reddit. 'Why do you need to send 80,000 lumens into my brain just to see what's in front of you?' one user wrote. Another wrote, 'Used to love driving in the dark too, but it's miserable now, sick of…being flash banged by oncoming vehicles.' 'If you're so blind that you need an industrial laser frying everyone else's retinas to see ahead of you, maybe just don't (expletive) drive,' wrote another.

Trump's 'Big, Beautiful Bill' would kill tax incentive that's powered EV sales. What to know
Trump's 'Big, Beautiful Bill' would kill tax incentive that's powered EV sales. What to know

Yahoo

time19-05-2025

  • Automotive
  • Yahoo

Trump's 'Big, Beautiful Bill' would kill tax incentive that's powered EV sales. What to know

President Donald Trump's 'Big, Beautiful Bill' spans 1,116 pages. Some of those pages include serious cuts to clean energy incentives in a number of sectors such as transportation. In an effort to reduce emissions produced by gas-powered vehicles, the federal government began to offer Americans an electric vehicle tax credit of up to $7,500 during the Obama administration. This made pricey electric vehicles more affordable and accessible to average American drivers. Among Trump's and House Republicans' 'Big, Beautiful Bill' proposals is a measure to kill the tax credit over the next few years. Section 112002 on page 30 of the One Big, Beautiful Bill document is titled "Termination of clean vehicle credit." The credit was originally set to expire December 21, 2032. A provision in the bill "accelerates the expiration to December 31, 2025." Americans would lose the ability to claim the EV tax credit in 2026. The bill also targets EV and hybrid vehicle owners, under a proposal from the House Transportation and Infrastructure Committee that calls for annual fees, according to MarketWatch. Electric vehicle owners could be charged $250 annually and hybrid owners could be charged $100 annually if the bill is passed. So, why the attack on electric vehicles and what does this mean for car buyers? The President has been taking aim at EVs for years and openly expressed his disdain for former President Biden's mandate demanding automakers electrify a large percentage of their portfolios by 2030. Trump has said that Biden's , electric vehicle mandate would cause 40% of all U.S. auto jobs to disappear, a statement which a non-profit research website, found no evidence to back up. President Trump is not an electric vehicle advocate, despite his proximity to Tesla CEO and Senior Advisor Elon Musk. Instead, the President is a huge supporter of the oil and gas industry. His pledge to "drill, baby, drill" was one of the major talking points during his campaign trail. If the 'Big, Beautiful Bill' eventually gets passed it could be the end of an era for American car buyers who strategically used the tax credit to purchase vehicles. The tax credit made popular electric vehicles like the Tesla Model Y affordable for many drivers. Eliminating it could severely impact EV sales across the industry. If EVs are suddenly less affordable, they could become less desirable to many consumers. The Chevrolet Equinox EV is $26,100 with the tax incentive. Remove the incentive and its starting price is $33,600 before taxes and additional fees. The Ford F-150 Lightning electric pickup truck starts at $55,495 before taxes and fees with the EV tax credit. Without the incentive, its price is $62,995. The existence of the tax credit is a huge selling-point for many popular EVs. The passage of the bill as is would mean electric vehicles are about to get much more expensive. This article originally appeared on USA TODAY: Trump's Big, Beautiful Bill plans end to electric vehicle tax credit Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

Trump's 'Big, Beautiful Bill' would kill tax incentive that's powered EV sales. What to know
Trump's 'Big, Beautiful Bill' would kill tax incentive that's powered EV sales. What to know

USA Today

time19-05-2025

  • Automotive
  • USA Today

Trump's 'Big, Beautiful Bill' would kill tax incentive that's powered EV sales. What to know

Trump's 'Big, Beautiful Bill' would kill tax incentive that's powered EV sales. What to know Could this be the end of affordable electric vehicles in America? Show Caption Hide Caption Lawmakers return to hammer out details on Trump's 'big beautiful bill' Lawmakers returned from break to hammer out the details of President Donald Trump's legislative agenda. 'Big, Beautiful Bill' includes tax cuts, reduced Medicaid and SNAP spending. Tax bill also proposes completely eliminating the Obama administration's federal electric vehicle tax incentive. Eliminating the EV tax credit could make some of the most popular electric cars less desirable to consumers. President Donald Trump's 'Big, Beautiful Bill' spans 1,116 pages. Some of those pages include serious cuts to clean energy incentives in a number of sectors such as transportation. In an effort to reduce emissions produced by gas-powered vehicles, the federal government began to offer Americans an electric vehicle tax credit of up to $7,500 during the Obama administration. This made pricey electric vehicles more affordable and accessible to average American drivers. Among Trump's and House Republicans' 'Big, Beautiful Bill' proposals is a measure to kill the tax credit over the next few years. President Donald Trump's 'Big, Beautiful Bill' takes aim at EV tax credit Section 112002 on page 30 of the One Big, Beautiful Bill document is titled "Termination of clean vehicle credit." The credit was originally set to expire December 21, 2032. A provision in the bill "accelerates the expiration to December 31, 2025." Americans would lose the ability to claim the EV tax credit in 2026. The bill also targets EV and hybrid vehicle owners, under a proposal from the House Transportation and Infrastructure Committee that calls for annual fees, according to MarketWatch. Electric vehicle owners could be charged $250 annually and hybrid owners could be charged $100 annually if the bill is passed. So, why the attack on electric vehicles and what does this mean for car buyers? Why the federal electric vehicle tax credit is under attack The President has been taking aim at EVs for years and openly expressed his disdain for former President Biden's mandate demanding automakers electrify a large percentage of their portfolios by 2030. Trump has said that Biden's , electric vehicle mandate would cause 40% of all U.S. auto jobs to disappear, a statement which a non-profit research website, found no evidence to back up. President Trump is not an electric vehicle advocate, despite his proximity to Tesla CEO and Senior Advisor Elon Musk. Instead, the President is a huge supporter of the oil and gas industry. His pledge to "drill, baby, drill" was one of the major talking points during his campaign trail. What an EV tax credit elimination means for American drivers If the 'Big, Beautiful Bill' eventually gets passed it could be the end of an era for American car buyers who strategically used the tax credit to purchase vehicles. The tax credit made popular electric vehicles like the Tesla Model Y affordable for many drivers. Eliminating it could severely impact EV sales across the industry. If EVs are suddenly less affordable, they could become less desirable to many consumers. The Chevrolet Equinox EV is $26,100 with the tax incentive. Remove the incentive and its starting price is $33,600 before taxes and additional fees. The Ford F-150 Lightning electric pickup truck starts at $55,495 before taxes and fees with the EV tax credit. Without the incentive, its price is $62,995. The existence of the tax credit is a huge selling-point for many popular EVs. The passage of the bill as is would mean electric vehicles are about to get much more expensive.

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