Print ArticleSACRAMENTO – This week, Democrat members of the Assembly Revenue and Taxation Committee voted down a measure that would have offered a limited exemption for biodiesel from the state excise tax and sent a clear message that California does not want to encourage the development of renewable fuels such as biodiesel, which provide a host of public benefits. These benefits include reductions in greenhouse gases, improvements to air quality, recycling of waste materials such as grease, and increased energy independence.
"Over the last 30 years, I have watched the pro-regulation, pro-litigation, pro-taxation and pro-centralized-government advocates become the definers of environmentalism." said Assemblyman Tran. "The left would have us believe that to be an environmentalist you have to believe in catastrophic threats, dramatic increases in government power and economically draconian solutions. Such a big-government bureaucracy, trial-lawyer-litigation and excessive-regulation "environmentalism" does a poor job of protecting the environment while it erodes individual freedom, destroys jobs and weakens our country."
"I thought AB 2240 was a chance to propose a fundamentally different approach to a healthy environment and a healthy economy. The time has come for California to promote in-state production of renewable fuels such as biodiesel to help us attain those lofty environmental goals currently enshrined in law as well as reduce our state´s dependence on foreign fuels."
In the 3-6 straight party line vote, the Revenue and Taxation Committee rejected AB 2240, by Assemblyman Van Tran, which would have given California an opportunity to invest in the future by minimizing the cost of producing biodiesel. An exemption from the excise tax (limited to 5 years) for biodiesel produced in California using in-state feedstock can stimulate production growth at a minimum cost to the state. This tax reduction will enable current producers to increase output and expand product delivery as well as lure additional companies to enter the California market.
Given the State´s commitment to reducing greenhouse gases, improving air quality, recycling waste materials such as grease and increasing our energy independence, Tran introduced AB 2240, sponsored by the California BioDiesel Alliance, to help the state reach its diversified energy portfolio goals. Notwithstanding the myriad of public benefits that are imparted by the increased use of renewable fuels, such as biodiesel, financial impediments have to date slowed their growth in production. Indeed, in-state production of biodiesel is currently limited to 18 million gallons.
These fuels are currently being used only by the military, municipalities, and select corporations. These entities can afford the premium cost associated with biodiesel. AB 2240 would have opened the door for other individuals and businesses to purchase biodiesel. This small step would have helped California move closer to a diversified energy portfolio.
"Over the last 30 years, I have watched the pro-regulation, pro-litigation, pro-taxation and pro-centralized-government advocates become the definers of environmentalism." said Assemblyman Tran. "The left would have us believe that to be an environmentalist you have to believe in catastrophic threats, dramatic increases in government power and economically draconian solutions. Such a big-government bureaucracy, trial-lawyer-litigation and excessive-regulation "environmentalism" does a poor job of protecting the environment while it erodes individual freedom, destroys jobs and weakens our country."
"I thought AB 2240 was a chance to propose a fundamentally different approach to a healthy environment and a healthy economy. The time has come for California to promote in-state production of renewable fuels such as biodiesel to help us attain those lofty environmental goals currently enshrined in law as well as reduce our state´s dependence on foreign fuels."
In the 3-6 straight party line vote, the Revenue and Taxation Committee rejected AB 2240, by Assemblyman Van Tran, which would have given California an opportunity to invest in the future by minimizing the cost of producing biodiesel. An exemption from the excise tax (limited to 5 years) for biodiesel produced in California using in-state feedstock can stimulate production growth at a minimum cost to the state. This tax reduction will enable current producers to increase output and expand product delivery as well as lure additional companies to enter the California market.
Given the State´s commitment to reducing greenhouse gases, improving air quality, recycling waste materials such as grease and increasing our energy independence, Tran introduced AB 2240, sponsored by the California BioDiesel Alliance, to help the state reach its diversified energy portfolio goals. Notwithstanding the myriad of public benefits that are imparted by the increased use of renewable fuels, such as biodiesel, financial impediments have to date slowed their growth in production. Indeed, in-state production of biodiesel is currently limited to 18 million gallons.
These fuels are currently being used only by the military, municipalities, and select corporations. These entities can afford the premium cost associated with biodiesel. AB 2240 would have opened the door for other individuals and businesses to purchase biodiesel. This small step would have helped California move closer to a diversified energy portfolio.
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