Biden administration to delay aviation fuel subsidy guidance until December, sources say
NEW YORK, Sept 6 (Reuters) – President Joe Biden’s administration likely will delay until December a decision on whether to make it easier for sustainable aviation fuel made from corn-based ethanol to qualify for subsidies under the White House’s signature climate law, two sources familiar with the discussions said on Wednesday.
The administration has been divided over the issue, which has prompted a fierce lobbying push from U.S. Farm Belt stakeholders that see sustainable aviation fuel (SAF) as crucial for the ethanol market’s growth. Environmental groups, on the other hand, say clearing land to grow crops for fuel is counterproductive to curbing global warming.