Verenium has applauded Senate passage of the farm bill as a boost for the development of next-generation cellulosic ethanol. The legislation, which cleared the House yesterday by a 318 to 106 vote and the Senate today by an 81 to 15 vote, included several key provisions that when signed into law will speed the development of cellulosic ethanol toward commercialization.
"America is preparing for the next important wave of alternative fuels, and this bill is a watershed moment in our national effort to develop energy that reduces greenhouse gas emissions and lessens America's dependence on foreign oil," said Carlos Riva, President and Chief Executive Officer of Verenium.
The measure provides:
– A cellulosic biofuels production tax credit for up to $1.01 per gallon, available through December 31, 2012;
– Funding for loan guarantees to commercial scale biorefineries for advanced biofuels, including cellulosic ethanol;
– Modification of the ethanol tax credit to shift government support from corn ethanol to other renewable sources of energy;
– A program to encourage farmers to establish and grow biomass crops in areas around biomass facilities, such as biorefineries, to reduce the environmental impacts;
– Continuation of research and development through the biomass energy research program administered jointly by the Departments of Agriculture and Energy. The bill more than doubles current funding, providing $118
million for research; and
– A multi-agency study to analyze current and future biofuels production, and their impact on factors such as land use, fuel prices, the price of grains and forest products, etc.
