American Biogas Council praises House introduction of the Agriculture Environmental Stewardship Act

July 17, 2019. The American Biogas Council, the trade association for the U.S. biogas industry, praises the recent reintroduction of the Agricultural Environmental Stewardship Act (H.R. 3744).  The bill was introduced on July 12, 2019 by Congressmen Ron Kind (D-WI-3) and Tom Reed (R-NY-23).

   The bill will increase agricultural viability by helping to deploy new nutrient recovery and biogas systems that recycle organic material into base load renewable energy and healthy soil products. The Act provides a 30 percent investment tax credit (ITC) for qualifying biogas and nutrient recovery systems.

   “The Agricultural Environmental Stewardship Act is a boost to on-farm economies and watershed protection everywhere. When biogas systems recycle manure and its nutrients, we have cleaner waterways and healthier soil,” said Patrick Serfass, Executive Director of the American Biogas Council (ABC). “This bill that Congressmen Ron Kind and Tom Reed have introduced incentivizes private investment in digester and nutrient recovery technologies which will create new jobs and protect our air, water and soil.”

   Currently, there are no tax incentives to encourage biogas or nutrient recovery systems. A previous production tax credit under section 45 of the federal tax code which promoted the use of renewable electricity expired at the end of 2017. This new credit would promote the production of pipeline quality natural gas and compressed renewable natural gas vehicle fuel as well as nutrients which are essential to agricultural production.