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Over 200 Rally Behind H.R. 2448, Urging Congressional Support for Renewable Natural Gas Tax Credit

Transportation, Energy, Agriculture, Waste Resource, and Manufacturing Interests Unite in Support of Increased Biomethane Motor Fueling

Washington, DC – Natural Gas Vehicles for America (NGVA) and the Moving Us Forward Coalition today released a letter submitted to the House Committee on Ways and Means and the Senate Committee on Finance. Endorsed by over 200 diverse businesses and organizations, the letter urges congressional support and swift passage of H.R. 2448, the Renewable Natural Gas Incentive Act.

H.R. 2448 would establish a $1 per gallon tax credit for renewable natural gas used in transportation, a move applauded by industry leaders for its potential to significantly contribute to a cleaner and more sustainable future. This incentive builds upon the success of the existing alternative fuel tax credit (AFTC), which presently offers a 50-cent credit for natural gas used in transportation and is set to expire in 2024.

Commercial natural gas vehicles (NGVs) fueled by RNG are recognized for their ultra-low criteria emissions, providing a multitude of performance benefits. RNG, captured from various organic sources like agricultural, wastewater, landfill, or food waste, can contribute to carbon-negative results when used in on-road vehicles such as short- and long-haul trucks, transit buses, and refuse and recycling collection vehicles.

The letter draws attention to California Air Resources Board data, confirming the carbon-negative results achieved by RNG in the state’s Low Carbon Fuel Standard program. With an annual average carbon intensity (CI) value of -98.98 gCO2e/MJ for calendar year 2022, RNG emerges as a frontrunner in environmental sustainability within the transportation sector.

The letter underscores the transformative impact of the proposed credit, enabling transit agencies, school districts, freight haulers, and package delivery companies to invest in cleaner, commercially available RNG vehicles without compromising service or increasing fares. Furthermore, it incentivizes nationwide RNG production by encouraging farmers and ranchers to capture methane from animal waste, mitigating emissions that would otherwise be released into the atmosphere.

Read the letter at: https://ngvamerica.org/wp-content/uploads/2023/12/All-Parties-Letter-Final-2023.12.12.pdf.

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NGVAmerica is a national trade association of sustainability solutionists and experts in the clean transportation field. Our roughly 200 members are dedicated to the development of a growing, profitable, and sustainable market for vehicles, ships and carriers powered by natural gas and biomethane. NGVAmerica member companies produce, distribute, and market natural gas and biomethane across North America, manufacture and service natural gas vehicles, engines, and equipment, and operate fleets powered by clean-burning gaseous fuels. Find out more at: www.ngvamerica.org.

Moving Us Forward is a coalition of diverse partners advocating for the use of renewable fuels. Incentives to invest in renewable natural gas (RNG) will not only tackle climate change but also drive economic growth. RNG is a safe, proven technology that provides an immediate, environmentally responsible and a realistic pathway to a sustainable future. To reduce emissions and meet climate goals, the United States must embrace RNG. Find out more at: movingusforward.us.