Ernst Backs Homegrown Biofuels, Prioritizes Certainty for Producers

WASHINGTON – U.S. Senator Joni Ernst (R-Iowa), a member of the Senate Agriculture Committee, helped introduce the Farmer First Fuel Incentives Act to provide Iowa farmers and biofuel producers with certainty and protect taxpayer dollars from supporting fuel produced with foreign crops.

The legislation would update the 45Z Clean Fuel Production Credit to make the U.S. less reliant on foreign feedstocks, open new markets for farmers, and increase renewable fuel production across the Midwest by ensuring 45Z only applies to homegrown biofuels made only from domestically sourced grain—such as corn and soybeans—and other feedstocks. Additionally, after the Biden administration refused to publish 45Z guidance on time, this bill would provide producers with long-term certainty and give the Trump administration opportunities to make necessary changes and better serve American farmers.

“Throughout my time in Congress, I’ve led the charge to build certainty and clarity into biofuel policies and put Iowa farmers at the forefront of delivering better, more affordable options at the gas pump,” said Senator Ernst. “The Farmer First Fuel Incentives Actdoes just that by giving producers the long-term certainty they need to go all-in on increasing production of domestic biofuels. It’s critical that we fully leverage homegrown, American biofuels and ensure not a cent of taxpayer dollars fund fuel produced with foreign crops.”

The full bill can be found here.

Background:

In January 2025, Ernst blasted the Biden administration for late, incomplete guidance on 45Z that continues to leave Iowa farmers and biofuel producers with little to no certainty. This delayed guidance came nearly six months after Ernst provided Biden-era officials with a clear timeline and direction for how to create guidelines for the 45Z credit that they ignored.

More broadly, Ernst has been a leading advocate for homegrown, Iowa biofuels, securing access to E15 for the summer driving months, while continuing the call for permanent, nationwide availability that would give those in the biofuel industry the certainty they deserve. She also pushed the Biden administration to increase RVO levels for homegrown Iowa biofuels and was instrumental in creating and maintaining the Higher Blends Infrastructure Incentive Program as part of her commitment to invest in renewable fuel infrastructure, rural job opportunities, and hardworking farmers.

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