US biofuel and agricultural groups are calling on the Treasury and IRS to finalize regulations for the Section 45Z Clean Fuel Production Credit. Industry leaders argue that clear rules and an updated GREET emissions model are essential to reduce investment risk and reward farmers using low carbon practices like cover cropping and no till farming. The groups are pushing for a final decision before the 2026 harvest to ensure feedstock certification and carbon intensity calculations are transparent. Key requests include adding new pathways for cellulosic corn and sorghum fiber to the emissions model and integrating USDA carbon intensity tools to streamline compliance.
