U.S. Senate Approves Legislation Boosting Biogas Sector and Rural Energy Resilience
Key Ideas
  • The U.S. Senate approved budget reconciliation legislation supporting biogas initiatives, aiming to transform organic waste into clean energy and enhance rural energy resilience.
  • Key provisions in the legislation incentivize clean fuel production, support rural economic development, and promote domestic energy security.
  • The bill extends tax credits for clean fuel producers, maintains support for biogas projects until 2032, and clarifies incentives for hydrogen production using biogas.
  • The American Biogas Council praises the Senate's decision as a significant win for the industry and a positive step towards a cleaner, more sustainable energy future.
The U.S. Senate recently approved new budget reconciliation legislation that has been praised by the American Biogas Council (ABC) for its support of the country’s biogas sector. The legislation aims to promote renewable energy initiatives that focus on transforming organic waste, such as manure, food scraps, and wastewater sludge, into biogas. These measures are expected to not only reduce waste but also stimulate rural economic development and enhance domestic energy security. One of the key highlights of the bill is the extension of the Clean Fuel Production Credit, which rewards clean fuel producers based on their emissions performance. Additionally, the legislation ensures that only feedstocks from the U.S. or North America qualify for credits, supporting domestic producers in the market. The bill also addresses tax credit transfers, opening up funding opportunities in various sectors like agriculture, wastewater, and food waste. Moreover, the legislation provides long-term tax support for biogas-to-power projects until 2032 and offers clarity on hydrogen production credits for projects utilizing biogas in the hydrogen supply chain. The ABC's Executive Director, Patrick Serfass, commended the Senate for sending a strong message of support for clean energy and locally produced fuels. He highlighted the importance of federal investment in biogas and the positive impact it can have on expanding the industry and creating employment, especially in rural areas. Serfass expressed optimism about collaborating with the House to further advance the legislation, viewing this development as a significant stride for the U.S. biogas industry and a reaffirmation of the nation's commitment to sustainable energy practices.
ADVANCEH2

Our vision is to be the world's leading online platform for advancing the use of hydrogen as a critical piece needed to deliver net-zero initiatives and the promise of a clean H2 energy future.

© 2025 AdvanceH2, LLC. All rights reserved.