NASHVILLE, Tenn. (RFD NEWS) — Biofuel producers and farmers are one step closer to usable 45Z Clean Fuel Production Credit rules after the Department of Energy released an updated 45ZCF-GREET model. The model helps calculate carbon intensity scores that determine credit values.
The update reflects policy changes made under the One Big Beautiful Bill Act, including the removal of indirect land-use change penalties for U.S. renewable fuels. Biofuel groups say that the change better recognizes domestic feedstocks and gives producers more certainty for the current tax year.
The credit matters for agriculture because carbon scoring could influence demand for corn, sorghum, soybeans, canola, and other feedstocks used in ethanol, biodiesel, renewable diesel, and sustainable aviation fuel.
The model release does not finish the process. Final Treasury regulations and USDA feedstock guidance are still needed before plants, farmers, and lenders can fully plan around the credit.
USDA Secretary Brooke Rollins recently told senators that 45Z guidance remains a priority, while also reaffirming support for year-round E15.
